In the latest issue of Capital Pioneer, Mark Kepeneghian, CEO of France’s first tokenised stock exchange, Lise, explains why taking equities digital is a task worth taking on.
Why start with equities?
Mark Kepeneghian: We chose to start with the hardest challenge. If we can build robust infrastructure for tokenised stocks, we can extend it to any financial asset: bonds, funds, derivatives. It’s about proving the model at the highest level of complexity. Tokenising equities is significantly more complex than tokenising bonds. Bonds are relatively linear instruments, while equities involve more dynamic shareholder rights, corporate actions and liquidity expectations.
What’s unique about your infrastructure?
We’re the first in France to integrate both the exchange and the Central Securities Depository (CSD) for tokenised assets. That means we control the full post-trade lifecycle. There’s no clearing house, no central counterparty, just instant, atomic settlement. This drastically reduces friction and cost. It’s not just a tech upgrade; it’s a structural shift in how capital markets can operate.
How long has this been in development?
Since 2018. We’ve been working closely with regulators and major European banks to ensure the system is not only technologically sound but also compliant and interoperable. Our focus has always been on building for real markets, not just pilots or sandboxes.
Why target SMEs?
SMEs are underserved by traditional capital markets. The IPO process is expensive, slow and often inaccessible. Our platform simplifies that. For offerings under €12m, there’s no need for a prospectus. We validate the IPO internally, so issuers don’t need to rely on third-party validators. That’s a game-changer for growth-stage companies.
How are issuers responding?
Very positively. They’re not coming to us because we’re “tokenised” instead, they’re coming because we offer a regulated, efficient path to capital. Tokenisation is the enabler, not the headline. What matters to issuers is that they can raise funds without unnecessary intermediaries, and that the process is legally robust.
Who’s investing?
A broad mix of family offices, small institutional funds, and increasingly, traditional investors. Because the legal structure mirrors that of a standard listed stock, there’s no regulatory barrier for participation. We’re not creating a parallel market; we’re modernising the existing one.
How does settlement work?
Each investor has a dedicated IBAN account opened in their name, held with a French commercial bank. Funds are pre-positioned before the trade, so when the order executes, settlement is instant. This setup also supports dividend distribution, capital increases and custody. It’s a full-stack solution, not just a trading venue.
Why base this in France?
French regulation is among the most demanding in Europe. Securing a license here is a strong signal of credibility. It gives us a solid foundation for international expansion. For example, Germany’s licensing process is more accessible once you’re approved in France.
How do you see global trends evolving?
The US is moving fast as American initiatives in tokenisation will accelerate the global shift. As a result, Europe, and the rest of the world, will have to respond. We’re positioning ourselves to scale with that momentum. The capital markets revolution is no longer theoretical. It’s happening now.
What’s next?
We’re launching with equities and instant delivery-versus-payment (DVP). Next year, we aim to complete three IPOs, then scale to 10, then 20 annually. The long-term goal is 24/7 listing and settlement across all asset classes: stocks, bonds, funds, and beyond.
Final thoughts?
We’re not just digitising securities; we’re rethinking access to capital. SMEs deserve efficient, regulated tools to grow. Tokenisation is the infrastructure layer but the real innovation is in removing friction, restoring trust and making capital markets work for more people.
This article will appear on www.capitalpioneer.co.uk and on desks in our print copy this week…