Startup FQX Makes It Possible to Provide Regulated and Decentralized Corporate Finance on Blockchain

SIX is the founder and principal minority shareholder of the F10 FinTech Incubator & Accelerator and operates its own corporate venture capital fund through SIX FinTech Ventures. In the Elevator Pitch blog series, startups that are backed by SIX FinTech Ventures or which took part the programs run by the F10 FinTech Incubator & Accelerator introduce themselves.

Today’s pitch comes from Benedikt Schuppli, 32, co-CEO and co-founder of FQX. The startup was an award winner at the Swiss Fintech Awards, at the Fintech Germany Award (both 2021), and at the Singapore Fintech Festival (2022). FQX counts among its investors Earlybird Venture, SIX FinTech Ventures, and Circle Ventures – the company behind the top-rated Stablecoin USDC. The startup also took part in the F10 scale-up program.

“We’re a Zurich-based blockchain startup with global ambitions. We want nothing less than to change the way companies can secure financing. Today, for example, if an industrial company wants to issue a bond of 50 million Swiss francs, it’s an incredibly arduous process: Quite a number of intermediaries need to be brought in, from the bank, paying agents and lawyers, through to central depositories – that takes weeks, and is very expensive.

Our solution handles the process in a few minutes, at a fraction of the cost: We connect companies directly with investors by allowing the former to issue debt securities via the blockchain directly to the latter, using what’s known as an eNote. We’re not the only FinTech involved with this, but the massive market potential – the global market for bonds is CHF 100 trillion – shows that we as blockchain startups need to work together. With combined efforts, we are heaving the old world onto the decentralized financial infrastructure of the future. There’s enough room there for multiple players. Where we stand out is the fact that we have a strong legal background – three of our co-founders are lawyers. The more strictly the blockchain is regulated – and that aspect is increasing – the more important it becomes that transactions take place in a secure legal framework. Our solution works in 169 countries worldwide, and our eNotes are recognized and executable throughout.”