Heartstocks

Heartstocks AG is a fintech company that operates a platform for the tokenization of alternative assets, aiming to make previously illiquid investments tradable for a broader audience. Founded in early 2021 by Till Rügge and Enno Henke, the company has its legal seat in Liechtenstein, with a German operating entity, BAM Service GmbH, located in Hamburg. The founders' backgrounds blend traditional finance with an interest in digital assets; Till Rügge has experience in asset management and tokenized products, while Enno Henke, after a banking apprenticeship and business studies, explored concepts for a more accessible financial system.

The company's core business involves transforming high-value collectibles, investment properties, and even entire companies into tradable digital securities. This is achieved by creating a special purpose vehicle (SPV), a corporation under Liechtenstein law, around a specific asset. Heartstocks then digitizes the share register of this SPV using blockchain technology and issues digital participation certificates, which function like shares. These digital shares can then be bought and sold by investors on the company's proprietary marketplace. For example, the first asset offered was a 1954 Mercedes-Benz 300 SL, for which 100,000 digital shares were issued. The business model generates revenue by charging a two percent fee on the purchase and sale of these digital securities on its platform.

Heartstocks targets both asset owners (such as family offices and asset managers) who want to create liquidity for their holdings, and retail or professional investors seeking access to alternative asset classes. The platform operates within a regulated framework, utilizing fully regulated securities under Liechtenstein law and, for public offerings, issuing a BaFin-approved securities prospectus with a WKN/ISIN. The company partners with established financial institutions, including Bankhaus Scheich as a market maker to ensure liquidity and CONCEDUS to provide the necessary regulatory umbrella. This structure allows for efficient, near-instantaneous transactions and increased transparency compared to traditional private markets. Key milestones include a Seed Round of €2 million in September 2021, followed by a €5 million financing round in March 2023, with funding primarily from family offices and business angels.

Keywords: asset tokenization, digital securities, alternative investments, fractional ownership, fintech, blockchain finance, Liechtenstein, illiquid assets, collectibles investment, regulated marketplace, digital assets, asset-backed tokens, special purpose vehicle, digital share register, secondary market, classic cars investment, real estate tokenization, private equity tokenization, art investment, securitization