A special purpose acquisition company (SPAC) is formed by investors in order to publicly list an organization without going through the troubles that come with the traditional IPO process.
The money SPACs raise in an IPO is locked in an interest-bearing trust account where it cannot be disbursed except to complete an acquisition or to return the money to investors if the SPAC is liquidated. They act as an interface between the public and businesses that often face challenges accessing funds.
Gunnar Jaerv is the chief operating officer of First Digital Trust — Hong Kong’s technology-driven financial institution powering the digital asset industry and servicing financial technology innovators. Prior to joining First Digital Trust, Gunnar founded several tech startups, including Hong Kong-based Peak Digital and Elements Global Enterprises in Singapore.
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