Oxbridge Re Holdings, a leader in tokenized Real-World Assets (RWAs) and reinsurance solutions for property and casualty insurers in the Gulf Coast region of the United States, has announced a strategic partnership through its Web3-focused subsidiary, SurancePlus Inc, with Zoniqx. Zoniqx, recognized for its expertise in digital asset management and previously collaborating with Ripple and PwC, joins forces with SurancePlus to expand its footprint in the reinsurance sector through blockchain technology. This collaboration aims to tokenize reinsurance contracts and integrate them into blockchain ecosystems.
Pioneering Tokenized Reinsurance Offerings
SurancePlus, a subsidiary of Oxbridge, recently completed a private placement of 287,705 Participation Shares represented by digital tokens known as EpsilonCat Re. This initiative, under a 3-year Participation Share Investment Contract, raised approximately $2.88 million. The tokens, issued on the Avalanche blockchain, are designed with a targeted 42% return, continuing the success seen with their DeltaCat Re tokenized reinsurance security, which delivered a 49.11% return, surpassing initial projections.
Compliance and Accessibility
The EpsilonCat Re tokens were offered to US accredited investors under Rule 506(c) of the US Securities and Exchange Commission (SEC) Regulation D, and to non-US investors pursuant to Regulation S of the US Securities Act of 1933. This approach underscores SurancePlus’s commitment to compliance and broadening access to alternative investments in reinsurance through innovative digital means.
Leadership Perspective on Digital Innovation
Jay Madhu, President and CEO of Oxbridge Re, highlighted the pioneering role of SurancePlus in democratizing access to reinsurance through digital innovations and Web3 insights. He emphasized their achievement as one of the first publicly traded companies to raise capital for catastrophe reinsurance risks via tokenized reinsurance securities. Madhu expressed enthusiasm about the partnership with Zoniqx, foreseeing enhanced capabilities in RWA tokenization and Web3 technologies, building on their successful EpsilonCat Re offering.
Partnering for Industry Advancement
Sanjeev Birari, Co-founder and CBO of Zoniqx, underscored the significance of their collaboration with Oxbridge Re and SurancePlus in advancing RWA tokenization. Leveraging their advanced TALM system and DyCIST protocol, Zoniqx aims to enhance transparency, security, and efficiency in managing digital asset lifecycles within the reinsurance industry. Birari highlighted the validation of their solutions through collaboration with a NASDAQ-listed company like Oxbridge Re, positioning Zoniqx to drive accessibility and innovation in financial markets.
Future Prospects and Innovations
The partnership between Oxbridge Re, SurancePlus, and Zoniqx marks a pivotal step towards reshaping the future of digital asset management in reinsurance. By bridging traditional finance with digital ecosystems, the collaboration aims to unlock new opportunities for investors while setting new standards in security and operational efficiency. As the integration of Zoniqx’s technology progresses, stakeholders can anticipate further innovations that redefine the landscape of reinsurance and digital finance.