Oxbridge Re Holdings Limited (NASDAQ: OXBR), (the "Company"), a leader in digitizing reinsurance securities as tokenized real-world assets (RWAs), together with its subsidiary SurancePlus, today announced that it has entered into an agreement with HCI Group, Inc. (NYSE:"HCI") to launch three (3) tokenized reinsurance securities that provide synthetic contractual returns and catastrophe exposures based on the outcome of reinsurance contracts underwritten by HCI's reinsurance subsidiary, Fortex Reinsurance SPC, Ltd. ("Fortex Re") through Fortex Re's segregated portfolios. The tokens to be issued by SurancePlus will be labelled HCI Re 2026 Series A, HCI Re 2026 Series B, and HCI Re 2026 Series C target annualized investor returns of approximately 243%, 133% and 19%, respectively, assuming no underwriting losses. At the closing of the offerings, it is expected that SurancePlus would add a total of approximately $12 million to its balance sheet as restricted assets assuming that SurancePlus receives subscriptions for the maximum amount of the offerings.

The offerings combine SurancePlus' expertise in tokenized real-world assets with HCI and Fortex Re's insurance and underwriting capabilities. The digital securities will be issued by SurancePlus utilizing Solana blockchain infrastructure through the Alphaledger platform, creating a new pathway for qualified investors to access a traditionally institutional asset class.

Expanding Access to Reinsurance Through Tokenized Securities

The underlying assets supporting the offerings consist of synthetic contractual returns based on the outcome of excess-of-loss reinsurance contracts premiums and collateral associated with Fortex Re's 2026-2027 reinsurance program. Excess-of-loss reinsurance is a widely utilized risk management tool within the insurance industry that has historically been accessed primarily by institutional investors, reinsurers and specialized market participants.

The transaction also highlights the potential for tokenization to expand the pool of capital available to insurance and reinsurance markets. By enabling broader participation from qualified investors, tokenized securities may complement traditional sources of reinsurance capital while creating a more direct connection between insurance risk and capital markets.

Through tokenization, qualified investors may gain exposure to reinsurance-related investment opportunities through digital securities representing interests associated with the underlying reinsurance program. Participation is expected to be available to eligible accredited investors under Rule 506(c) of Regulation D in the United States and to non-U.S. investors pursuant to Regulation S of the U.S. Securities Act of 1933, as amended. Minimum investments expected to begin at approximately $5,000, substantially reducing the capital requirements traditionally associated with institutional reinsurance participation.

Reinsurance represents one of the largest and most established real-world asset markets globally. By combining blockchain-based infrastructure with insurance-linked investment opportunities, the offering seeks to create a more efficient connection between insurance risk and global capital markets while maintaining the underwriting discipline and risk management framework traditionally associated with the reinsurance industry.

For decades, participation in reinsurance-related investments has generally required significant capital commitments and specialized market access. Through tokenization, that model is evolving, broadening access to an asset class that has historically been difficult to access.

Bringing Reinsurance Risk On-Chain

In a first-of-its-kind transaction, SurancePlus is working with HCI to provide qualified investors synthetic contractual exposure to Fortex Re's 2026-2027 reinsurance program through tokenized securities issued on blockchain infrastructure. The offerings represent what SurancePlus believes to be one of the first instances in which qualified investors may gain exposure to reinsurance risk associated with an insurance company's reinsurance program through tokenized securities issued on blockchain infrastructure. The offering represents another step in the continued evolution of insurance-linked investments and the tokenization of real-world assets.

The blockchain serves as the underlying technology infrastructure for issuance, ownership, administration and transfer, while the securities themselves derive their value from underlying reinsurance interests. This structure combines the benefits of blockchain technology with the transparency, governance and regulatory framework associated with traditional securities offerings.