Mining and Metallurgical Norilsk Nickel : Nornickel’s digitalization arm debuts token on precious and base metals

The digital metals subsidiary of Nornickel, GPF Investments, has conducted a release of unique digital financial assets (DFA) on the Atomyze blockchain platform for a basket of five metals: gold, palladium, platinum, copper, and nickel, marking a first in Russia.

Thanks to a selection of raw materials for various economic sectors, investors receive a comfortable combination of risk and return in the form of a ready-made diversified portfolio. The token value is automatically calculated based on a formula that incorporates the quotations of two major commodity exchanges: the London Bullion Market Association (LBMA) and the London Metal Exchange (LME). This simplifies calculations and investment management for investors.

Historically, metal prices have a low correlation with the stock market and can remain an effective tool for preserving funds amid macroeconomic uncertainty.

Vladimir Pronsky, CEO of GPF Investments, commented: "We are offering investors a truly unique digital financial asset for Russia. This new product reflects not only Nornickel's general commitment to innovation but also the company's focus on the Russian private investment sector. In an era where macroeconomic uncertainty becomes the new norm, our digital products demonstrate what the 'safe haven' of the future could look like."

Alexey Ilyasov, CEO of Atomyze, commented: "The new digital financial assets are the first tokenized basket of investment-attractive precious and industrial metals. Such diversification helps protect against short-term price changes in specific metals."

The issue volume of the new digital financial assets is 11 million rubles, with a circulation period of one year. At the same time, the issue includes two early redemption periods, allowing investors to lock in profits when metal prices are most attractive.

The cost of each new DFA is determined based on the LBMA and LME evening prices per unit mass of the respective metal. Since the quotes are in dollars, the price is converted into rubles according to the official rate of the Bank of Russia.

To fulfill its obligations, GPF Investments acquires the required amount of precious metals at the issuance of the financial instrument.

The new DFAs are aimed at qualified investors; they are traded on the Atomyze platform under the supervision of Russia's Central Bank according to federal law No. 259.

More information about the new DFAs can be found in the issuance decision.