Angel Noemi Asanza’s Post

The House Financial Service Committee recently had a hearing regarding “Next Generation Infrastructure: How Tokenization of Real-World Assets Will Facilitate Efficient Markets”. However, there was no discussion on the next generation infrastructure, which must include DeFi tech, -sure there was discussion about an ATS, clearing and settlement, and blockchain-but nothing about the next generation of capital markets infrastructure. I’ve been working on the next generation of capital markets infrastructure for digital securities for 2 ½ years and what I’ve learned: The digital securities infrastructure should not interact with the legacy structure-it has to be a fully independent infrastructure. For examples have a look at BSTX, ASX and Paxos as case studies when combining blockchain/DLT with TradFi rails. It matters how the digital securities capital markets infrastructure, utilizing blockchain and DeFi technology is set-up; meaning, it matters how the national digital securities exchange, digital securities clearing/settlement agency, blockchain network and digital securities custodian work as one larger market structure. It really matters where the AMM with liquidity pools is located within this infrastructure. If we understand how a blockchain networks works, then we understand how each part of the capital markets infrastructure is connected by this blockchain network. If Citi and BCG are correct there will be 4-16 trillion dollars of tokenized assets by 2030-where will these assets trade-on an ATS or on a national digital securities exchange utilizing DeFi technology? You can tokenize any asset, but if you do not have a liquidity solution-what’s the point. An interesting point about a national securities exchange utilizing DeFi tech-is each asset traded will need a trading pair (a tokenized money market fund) and if Citi and BCG are correct the national exchange will need at a minimum 4 trillion or more of tokenized MMF-this is a new source of funds for the US Government, so this infrastructure is in the national interest of the United States Government. My start-up (pre-seed and pre-product--TP4 Digital Assets), is proposing to build a capital markets infrastructure, which includes a custody solution that meets SEC Rule 15c3-3 custody, and a liquidity solution by introducing decentralized finance (“DeFi”) technology-automated market maker (“AMM”) with liquidity pools. TP4's solution solves two main issues in the digital securities space, custody (a good control location) and liquidity. Let me know if you're interested in building WisdomTree Asset Management Jonathan Steinberg William Peck Franklin Templeton Roger Bayston Jenny Johnson NYSE Lynn Martin MIAX Exchange Group Thomas Gallagher Zach Dexter John Smollen Nasdaq Adena Friedman Matthew Savarese IEX Ronan Ryan Long-Term Stock Exchange LSEG (London Stock Exchange Group) John Wu Morgan Krupetsky Avalanche Robinhood Fidelity Investments Andreessen Horowitz

Decentralized Derivatives Agreement: Bridging Traditional and Digital Assets The financial world is undergoing a significant transformation with the advent of blockchain technology. One sector that has seen remarkable growth and innovation is derivatives trading. Derivatives play a crucial role in managing risks and providing investment opportunities in traditional finance. However, the centralized nature of the derivatives market restricts access and limits the potential for innovation. Enter Zerone Protocol, a revolutionary platform that seamlessly integrates traditional and digital assets in decentralized derivatives trading. With a focus on bridging the gap between the two worlds, Zerone is unlocking new possibilities for risk management and investment. Traditional derivatives markets are valued at a staggering $1.2 quadrillion. Zerone recognizes the immense potential to bring this market onto the blockchain, making it more accessible to a global audience. By leveraging the power of blockchain technology, Zerone aims to disrupt the industry and reshape the way derivatives are traded. One of the standout features of Zerone Protocol is its introduction of hybrid perpetual contracts. These contracts combine traditional and inverse elements, giving traders unparalleled flexibility in navigating dynamic market conditions. Trustless asset exchange lies at the heart of Zerone's decentralized finance ecosystem. Through the elimination of intermediaries and the utilization of blockchain technology, Zerone provides a transparent and secure platform for derivatives trading. Users have complete control and ownership of their funds, reducing counterparty risks and ensuring a higher level of security. Community governance is another key aspect of Zerone's vision. Token holders have a voice in shaping the future of the protocol through democratic voting. This inclusive approach fosters trust, encourages participation, and ensures that the protocol evolves in line with the community's needs and aspirations. Zerone Protocol is on a mission to simplify derivatives trading, bridge the gap between traditional and digital assets, and empower individuals to take control of their financial futures. With the potential to disrupt the $1.2 quadrillion derivatives market, Zerone is at the forefront of the decentralized finance revolution. The team behind Zerone Protocol comprises highly experienced individuals with expertise in blockchain technology, smart contracts, algorithm development, and decentralized finance. Led by Professor Dennis, a prominent scientist, the team is dedicated to building a decentralized world across various domains and believes in the vast potential of decentralized financial derivatives. In summary, Zerone Protocol is revolutionizing derivatives trading by seamlessly integrating traditional and digital assets. With its unique hybrid perpetual contracts, trustless asset exchange, and community-driven governance,

"Chainstack's dependable RPC infrastructure has been vital for Lynx. Their low latency and strong uptime ensure our high-leverage trading platform runs smoothly and efficiently.” - The Lynx Team Key highlights from our work with Lynx: ☑️ Reimagining high-leverage trading Lynx leverages Chainstack's robust infrastructure for seamless high-leverage trading across crypto, forex, and commodities, using any ERC-20 token as collateral. ☑️ Reliable and scalable infrastructure Our partnership supports 4 active Global Elastic Nodes, handling 30M requests primarily on the #Fantom protocol, ensuring reliable and high-performance data access. ☑️ Lynx in a nutshell Lynx is a decentralized perpetuals exchange that offers innovative high-leverage trading solutions. With features like gasless trade execution and single-asset liquidity provision, Lynx empowers traders and liquidity providers alike. "Working with Lynx has demonstrated Chainstack's ability to deliver essential infrastructure for innovative trading solutions. We are proud to contribute to their success in the decentralized finance space.” - Eugene Aseev, CTO & Co-Founder, Chainstack We are proud to support Lynx's mission, driving innovation and efficiency in the decentralized trading space. Here's to continuing our partnership in advancing decentralized technology and delivering superior trading experiences 💙🛠️ Full story ⤵️ https://bit.ly/3WwFIQU

Global Digital Finance (GDF) and the FIX Trading Community have created a working group for the FIX-FINP2P Protocol Interoperability Alliance. FinP2P is a routing network aiming to provide an interoperability protocol between different blockchains that host tokenized digital assets. It was founded by JP Morgan-backed Ownera. Today there are numerous private and public blockchains hosting digital bonds, funds and other digital assets. A payment token might exist on a separate network. Rather than connecting to each network separately, FinP2P allows buyers to connect to a single network which performs the integration. On the FIX side, it’s a widely used messaging standard in traditional finance front-office trading systems. Hence, by integrating the two it potentially allows trading of traditional and digital securities from a single interface. The combination of the two helps to address the interoperability between blockchains and with legacy systems, at least the front office ones. “The biggest challenge facing tokenization initiatives today is to connect market supply and demand at scale and make it easy for buy-side institutions to access the pipelines of high-quality assets now being tokenized by the sell-side,” said Anthony Woolley, Co-Chair of the GDF Tokenization Forum and Head of Business Development and Marketing at Ownera. “The FIX-FinP2P Alliance will be tackling that problem head-on by enabling institutions to use their existing FIX Gateways to connect to the world of tokenization without having to worry about the expense and complexity of integrating technologies such as blockchain and digital custody into their existing systems.” FinP2P and the GDF have been working together for several years with institutions including the DTCC and ING testing FinP2P has far back as 2021. As a routing network, it offers an alternative to native blockchain interoperability and APIs. “Both FIX and FinP2P were conceived as open peer-to-peer protocols and the potential for our community to use their FIX gateways to instruct the orchestration and settlement of tokenization transactions over FinP2P will be a testament to the power and flexibility of the FIX messaging language,” said Jim Kaye, Executive Director at FIX Trading Community." Ledger insights

I recently came across this comprehensive research report on BlackRock's Tokenized Money Market Fund (MMF) and highly recommend it to anyone looking to better understand this next step in BlackRock's digital asset efforts. Link: https://lnkd.in/ePtXaKw3 Here's a brief summary of the key points: BlackRock's BUIDL Fund Overview The BlackRock USD Institutional Digital Liquidity Fund Ltd. ("BUIDL") is a professional fund incorporated in the British Virgin Islands, backed by BlackRock, Inc. It issues ERC-20 tokens on the Ethereum blockchain, with underlying assets primarily in US Treasury bills, notes, and other government-backed securities, as well as cash and repurchase agreements. The fund operates with a focus on low-risk assets and daily dividend accrual. Significance of BUIDL BlackRock's foray into tokenized assets with BUIDL marks a significant step in institutional adoption of public blockchain technology especially for the US. It reflects a growing acceptance of tokenized financial products and emphasizes the potential synergy between traditional finance and decentralized finance. BlackRock's choice of Ethereum for BUIDL underscores the network's security and robust ecosystem. Key Features and Legal Structure 🔍 BUIDL tokens are limited to whitelisted (institutional) investors who pass KYC/AML onboarding. 💸 Dividends accrue daily at 3:00 pm EST and are distributed in-kind on the first business day of the following month. 💧 BlackRock has established a USDC liquidity facility for BUIDL, allowing for 24/7 atomic liquidity via smart contracts. 💳 The fund fees are calculated per annum and applied on the Net Asset Value 🏢 The Fund has robust legal structures in place to bridge the gap between traditional finance and blockchain technology as a new tech layer. Other parties involved are: Custodian & Administrator: BNY Mellon Transfer Agent, Placement Agent & Tech Provider: Securitize Comparison with Other Tokenized Treasury Products The report also provides an analysis of the broader market for tokenized treasury products (with a focus on products on public networks and accessible through DeFi protocols), highlighting the growth in this space and the varied approaches to regulatory compliance, permissions, and KYC/AML requirements. BlackRock's BUIDL stands out for its strong institutional backing and strategic approach to integrating real-world assets with blockchain technology. Overall, BlackRock's BUIDL Fund represents a bold step towards blockchain technology by a leading financial institution, which is especially remarkable considering the difficult regulatory environment on this topic in the US. I personally also really like the DeFi integration via USDC which I hope to also see for eWpG securities when we get the first Euro Stablecoins under MiCAR.

It’s the #2 post for Blockchain Mondays. Let’s learn about the Liquidity Pools. #BlockchainMondays #DeFi #LiquidityPools #LearnCrypto

Coinbase Plans Tokenization Following Blackrock Move🚨 Coinbase's entry with the planned creation of a tokenized money-market fund, along with BlackRock's earlier move this year into tokenized treasury funds. The Broader Implication 🌐 When established giants like Coinbase and BlackRock make bold moves into new financial technologies, it often signals that the market is maturing and ready for broader adoption. This is similar to how, in the mid-2000s, companies like Apple and Google drove the narrative and development of new technologies. For instance, Apple’s introduction of the iPhone and its aggressive promotion of the App Store fundamentally transformed the mobile industry 📱. It wasn’t just about selling a new device; it was about creating an entirely new ecosystem of mobile applications that changed how we interact with technology. Similarly, Google’s push into cloud computing with Google Cloud Platform ☁️ showcased a significant shift. By leveraging its robust infrastructure and technological expertise, Google not only validated the potential of cloud services but also accelerated its mainstream acceptance, paving the way for widespread adoption of cloud-based solutions in various industries. Next Steps in Tokenization 📈 Recently, I read an interesting blog that emphasizes the importance of TradFi integrating with DeFi to unlock the full value of tokenization. Tokenization on its own is not enough. A couple of interesting points from the article are the following: 1. « Tokenization allows direct access to assets, unlike traditional finance. The next step is to develop a secondary market to enhance this accessibility further. » 2. « Simply tokenizing assets is not enough. The real benefit lies in composable ‘yield’. Tokenizing assets in DeFi provides advantages for payment and collateral in financial activities 💱. » Hence, I believe this move from Coinbase and Blackrock is setting the stage for a broader integration of decentralized finance (DeFi) with traditional finance (TradFi). You can read the full article here: https://lnkd.in/dR3pXac7

Hello friends i want to Introduce Zerone Protocol a revolutionizing decentralized derivatives trading. Zerone Protocol is disrupting decentralized finance by bridging the gap between traditional and digital assets. Guided by the principle of "one coin one exchange," Zerone is unveiling an innovative platform for decentralized derivatives trading. In the blockchain era, individuals have the freedom to own and transfer assets on an open network without relying on external intermediaries. This has led to the rapid growth of digital assets on the blockchain. However, the existing platforms fall short in facilitating the exchange of more complex financial arrangements, such as derivatives trading. Zerone Protocol aims to fill this gap by offering a range of decentralized protocols that enable diverse financial products for crypto assets. Harnessing the power of multiple chain contracts like Arbitrum, Binance Smart Chain, and Ethereum, Zerone empowers investors with new avenues for risk management and investment expansion. One standout feature of the protocol is its hybrid perpetual contracts, which blend elements of both traditional and inverse contracts. This flexibility allows traders to seamlessly adapt to dynamic market conditions. Trustless asset exchange is another vital aspect of Zerone Protocol. By eliminating the need for centralized clearinghouses, the protocol ensures that traders maintain complete control over their funds, minimizing counterparty risks. Aligned with the principles of decentralization, Zerone Protocol emphasizes governance and community involvement. Token holders possess voting rights on proposed upgrades, fostering a democratic and inclusive environment that values community input. With its innovative features and user-centric design, Zerone Protocol is redefining the possibilities of decentralized finance. The decentralized derivatives trading platform offered by Zerone Protocol is poised to reshape the future of finance. Stay tuned for the exciting developments of this groundbreaking project!

Blockchain Mondays: What is a Liquidity Pool and how does it work? In the decentralized finance (DeFi) ecosystem, liquidity pools (LPs) play a crucial role in enabling seamless trading on decentralized exchanges (DEXs). Whether you're swapping tokens or earning rewards by providing liquidity, understanding how LPs work is essential. How Liquidity Pools Work Liquidity pools are smart contracts that hold pairs of tokens. These pools function by allowing users to deposit equal values of two different tokens into the pool. When you contribute to a pool, you deposit an equivalent amount of each token, for example, Token X and Token Y. In return, you receive LP tokens that represent your share of the pool. These LP tokens can be redeemed later for the underlying assets in the pool. Trading Against the Pool When a user wants to swap Token X for Token Y, the trade is executed against the liquidity pool. The pool uses an Automated Market Maker (AMM) algorithm, typically the constant product formula (x * y = k), where x and y represent the quantities of the two tokens in the pool, and k is a constant. This formula ensures that after every trade, the product of the quantities of the two tokens remains the same, automatically adjusting the price based on the pool's current reserves. Price Determination The price of each token in the pool is determined by the ratio of the two tokens' quantities. For example, if there’s more Token X in the pool than Token Y, the price of Token X decreases relative to Token Y, making Token X cheaper to buy. Conversely, if Token Y is more abundant, its price will decrease relative to Token X. This dynamic pricing is what allows DEXs to function without traditional order books. Balancing the Pool Every time a trade is made, the liquidity pool adjusts its balances to maintain the constant product. If a user swaps Token X for Token Y, the pool’s quantity of Token X will increase while the quantity of Token Y decreases. The AMM then recalculates the price of each token based on the new ratios. This self-balancing mechanism is what enables continuous trading on DEXs, regardless of market conditions.

What is LSDFi? The Fusion of Liquid Staking Derivatives and DeFi Liquid staking is revolutionizing the decentralized finance landscape, commanding a massive total value locked (TVL) of $47.65 billion, which is over half of the entire DeFi market's TVL. Leading this surge is the concept of Liquid Staking Derivatives Finance (LSDFi), merging traditional DeFi operations with the flexibility of liquid staking. 🔗 How LSDFi Works The process begins with users staking their cryptocurrencies, which are then tokenized into liquid staking derivatives (LSDs). These LSDs remain liquid and tradable across various platforms, enabling continued earning of staking rewards while being used for additional financial activities. 🌐 Diverse Applications LSDFi is paving the way for innovative financial strategies across the DeFi ecosystem, including interest rate swaps, risk management, and even the tokenization of physical assets like gold. It’s also carving a niche in GameFi, blending gaming with financial investments. ✨ BNB Chain Integration The integration of LSDFi into the BNB Chain has been a game-changer, improving security, accessibility, and financial efficiency. This move broadens the base of validators and allows for deeper community involvement through governance. 📈 Looking Ahead As LSDFi continues to evolve, its impact on DeFi is undeniable. It is transforming how users interact with digital assets and opening up new avenues for investment. Keep an eye on this space for more dynamic and lucrative opportunities in digital finance. Let us know how much of a gamechanger LSDFi could be for DeFi on BNB? Read more here 👇 https://lnkd.in/eDcvyzJM