BSGM Announces Major Financing for Gold-Backed Tokens
BioSig Technologies Inc (BSGM:NASDAQ), following its recent merger with Streamex Exchange Corp., secures definitive agreements for growth financing up to US$1.1 billion, setting the stage for it to become one of Nasdaq's largest public holders of gold bullion.
BioSig Technologies Inc (BSGM:NASDAQ), following its recent merger with Streamex Exchange Corp., announced it has secured definitive agreements with a leading institutional investor for growth financing up to US$1.1 billion, setting the stage for BioSig to become one of Nasdaq's largest public holders of gold bullion.
This strategic move is aimed at transforming the future of global finance by initiating the tokenization of the approximately US$142 trillion commodities market, the company said in a release.
"This financing marks a pivotal moment not only for Streamex and BioSig, but for the evolution of global financial markets," said BioSig Chief Executive Officer and Streamex Co-Founder, Henry McPhie. "By integrating the stability of gold with blockchain innovation, we are poised to revolutionize the commodities market, enhancing liquidity, transparency, and accessibility across this vast sector."
Dow Jones Newswires reported on July 8 that Biosig shares surged 26% in premarket trading after the news.
Under the terms of the agreement, BioSig will issue US$100,000,000 in senior secured convertible debentures and a US$1,000,000,000 Equity Line of Credit. The debentures, maturing 24 months post-issuance, will accrue interest at 4% annually, escalating to 18% in the event of a default. These debentures, purchasable at 96% of their principal value, are convertible into common stock, with BioSig and certain subsidiaries providing first priority liens on select assets as security.
The equity line of credit grants BioSig the option, though not the obligation, to sell shares to the investor, potentially raising up to US$1 billion over the next 36 months. The company plans to register these shares with the Securities and Exchange Commission to facilitate their resale.
The initial offering of US$75 million in debentures, alongside the equity line of credit, is slated to close around October 7, pending shareholder approval. An additional US$25 million in debentures is expected to follow, contingent on the effectiveness of the resale registration.
Becoming a Major Player
BioSig said it aims to establish itself as a major player in the gold treasury sector and is investing in blockchain technology to enhance real-world asset liquidity, transparency, and accessibility. The company anticipates this transaction will significantly bolster its financial flexibility and market position.
Cantor Fitzgerald & Co., and Clear Street LLC served as co-lead placement agents, with Needham & Company, LLC as co-placement agents.
"The integration of gold and commodities on-chain is a groundbreaking advancement in finance," said Morgan Lekstrom, co-founder of Streamex and chairman of BioSig. "Our model merges the tangible value of gold with the growth potential of a scalable tokenization platform, offering a unique investment opportunity and redefining asset management."
McPhie, co-founded Streamex, said, "They (BioSig) had a good shareholder base, a good team behind them. Obviously, medical technology is not the same as what we're doing with Streamex, the tokenization angle. But you know we're going to be transitioning towards Streamex, continuing to run the BioSig business for the next while."Streamex is pioneering the tokenization of real-world assets (RWA), particularly gold, which is anticipated to surpass the impact of Bitcoin due to positive market forecasts and the rapid adoption of tokenization by traditional financial institutions, the release said.
With daily gold trading volumes significantly outstripping those of Bitcoin, and a total market size vastly greater, the potential for RWA tokenization is immense, projected to reach US$16 trillion by 2030.
Streamex is strategically positioned to lead in the US$22 trillion gold market, planning to secure substantial gold reserves and leverage its blockchain technology to foster a recurring revenue model through gold-related tokens.
These tokens are designed to offer efficient, cost-effective gold investment opportunities and support innovative financing structures, potentially yielding returns that exceed traditional gold investments.
Strategic advisors, including mining financier Frank Giustra and mining entrepreneur Sean Roosen, have endorsed Streamex's innovative approach, the company said. Giustra highlighted gold's role as a fundamental hedge against various global risks, noting its significant growth potential. Roosen praised Streamex's model as a transformative development in mining finance, likening its potential impact to that of royalty/streaming companies and ETFs but with broader reach and modern technological integration.
A Route to the Nasdaq
McPhie, who co-founded Streamex with Lekstrom, told Streetwise Reports the company was looking for a suitable partner to get on the Nasdaq, and they talked with "probably 200 different companies that we were looking at, we (had) in-depth conversations with probably 10 of them and narrowed it down to three as we were going the process."
"At the end of the day, it just ended up making a lot of sense," McPhie said. "They (BioSig) had a good shareholder base, a good team behind them. Obviously, medical technology is not the same as what we're doing with Streamex, the tokenization angle. But you know we're going to be transitioning towards Streamex, continuing to run the BioSig business for the next while."
'A Pivotal Moment for the Commodities Market'
Numerous companies have recently shifted their financial strategies to include cryptocurrencies, acquiring capital through equity sales and bonds to invest in digital assets like Bitcoin and Ethereum's Ether (ETH), reported Krisztian Sandor with AI assistance for CoinDesk on July 8,
However, BioSig is charting a different course. Following its merger, the company is establishing itself as a gold treasury firm while capitalizing on the burgeoning trend of asset tokenization. Tokenized assets, which include traditional financial instruments such as stocks, funds, and commodities transacted on blockchain technology, are expected to evolve into a multitrillion-dollar market in the coming years, according to analyses by BCG, McKinsey, and Standard Chartered, the report noted.
BioSig intends to secure physical gold through a premier bullion bank and allocate a significant portion of its balance sheet to gold, as opposed to fiat currency, Sandor reported. Concurrently, Streamex is set to launch tokens that are backed by gold and other commodities, utilizing its platform developed on the Solana blockchain.
OneSafe, a financial platform designed for startups, noted in a post by its editorial team on July 8 that "the recent merging of BioSig and Streamex is a pivotal moment for the commodities market, marking a significant entry of blockchain technology into a US$142 trillion industry."
"The merger between BioSig and Streamex signals a transformative time for the commodities market as blockchain technology becomes increasingly integrated," the post noted. "With benefits like enhanced liquidity and transparency, the potential for tokenized commodities could reshape trading dynamics, but stakeholders must be vigilant about navigating regulatory and market challenges.
In an updated research note on July 11, Stock Traders Daily rated BSGM weak in the near-term, but strong in the mid- to long-term with a target price US$7.70 per share.
A July 8 report in Coin World noted that the integration of gold into the company's treasury "offers a beacon of stability in an era of economic volatility."
"Gold, a safe-have asset, provides inherent stability and acts as a reliable store of value during uncertain times," the website said. "By tokenizing gold, it becomes easier to transfer, fractionalize, and trade, offering superior liquidity compared to physical gold. This move also serves as an inflation hedge, protecting the purchasing power of the invested capital."
The backing of a traditional, universally accepted asset like gold can attract more institutional investors and foster greater confidence in the digital asset ecosystem, Coin World noted.
"The US$1.1 billion injection will accelerate the development and implementation of this sophisticated financial infrastructure," it continued.
Meeting the Demands of a Digital-First Economy
Gold has long been a cherished asset, yet in our dynamic, digital-first economy, the traditional methods of handling physical gold through bars and vaults no longer meet the demands for speed, transparency, and universal accessibility, according to a report by Medium on June 14. This is where the concept of gold tokenization steps in, revolutionizing the way we acquire, trade, and oversee this valuable metal.
Streetwise Ownership Overview*
BioSig Technologies Inc (BSGM:NASDAQ)
*Share Structureas of 7/21/2025Source: RefinitivBut what exactly does gold tokenization entail? Essentially, it involves transforming physical gold into digital tokens on a blockchain, Medium reported. Each token corresponds to a specific amount of real gold, securely stored in a vault. This allows individuals to trade, sell, or transfer ownership of gold as effortlessly as any other digital asset.
Gold tokenization is far from being just a trendy term. The tokenization of real-world assets (RWA) is on the rise. By the end of 2024, the market for these assets, excluding stablecoins, reached a remarkable $15.2 billion, with gold tokens prominently leading the charge. With an annual growth rate of 85%, tokenized assets are not only gaining traction but are also swiftly moving towards mainstream adoption.
Ownership and Share Structure
According to Refinitiv, about 22% of BioSig is owned by insiders and management about 27% is held by institutions. The rest is retail.
Its market cap is US$647.57 million with 139.86 million shares outstanding. It trades in a 52-week range of US$0.23 and US$14.11.
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