Chainlink Labs’ Post

Why is #VentureCapital one of the biggest use cases for #tokenization? Tokenization allows fund managers to turn the fund shares into digital assets fully compliant with regulations. That way it's possible to increase liquidity in those types of investments and increases the value proposition to LPs. Want to know more? Just send me a connection. Happy to share the digital asset strategy of the top VCs doing it for over 10 years. #vc #digitalassets #venturecapital #equity #startups #funding #founders #pe #cvc #privateequity #blockchain #tokenization #ai

Tokenization is just a fad, it'll go away... The nay-sayers will often say this, but meanwhile commercial giants are making waves utilizing blockchain technology. This includes exciting news from HSBC as they venture into the world of gold tokenization. The London-based financial giant, recently introduced tokenized ownership of physical gold from its London vault, harnessing distributed ledger technology for asset trading. This innovative approach generates a permissioned digital representation of clients' gold holdings, with one token equivalent to 0.001 troy ounce. The trade of tokenized gold can now occur seamlessly between HSBC and institutional investors through their Evolve platform. It's worth noting that HSBC is no stranger to blockchain technology, having collaborated with Wells Fargo for shared settlement ledgers in multiple currencies. The bank also revealed plans to launch HSBC Orion, a tokenization platform for digital bonds. John O'Neill, HSBC's head of digital assets strategy, markets, and securities services, highlights the growing demand for tokenization solutions tied to real-world assets like gold. This aligns with a broader trend in the tokenization space, fueled by macroeconomic factors that have led some investors to seek "flight to quality" options, including gold. A recent report by RedStone Chaos Labs ranks gold as the second-most tokenized asset by market capitalization, just behind USD. With increasing attention on gold due to inflationary concerns, tokenized gold is well-positioned to play a crucial role in the transition to on-chain finance. Tether Gold (AUT) and PAX Gold (PAXG) currently dominate the tokenized gold category, boasting substantial market capitalizations. These tokens are backed by physical gold stored in reputable vaults, adding a layer of security and trust for investors. Notably, WisdomTree Asset Management's "blockchain-enabled" consumer app also offers tokenized gold, highlighting the growing interest in this emerging asset class. HSBC's foray into gold tokenization is a significant step toward building a comprehensive suite of digital asset capabilities. As the high-yield environment continues to drive the digitization of financial assets, including sovereign bonds and money market funds, it's becoming increasingly clear that traditional financial players are embracing the potential of tokenization. The future of tokenized commodities is promising, and we can anticipate further growth and integration into the broader crypto market cycle. While full implementation may take a bit of time, it's an exciting journey that traditional finance is embarking on. Credit Blockworks - https://lnkd.in/ehEhh-Wa #GoldTokenization #Blockchain #DigitalAssets #FinanceInnovation

4 Reasons Banks Are Embracing The Tokenization Of RWAs: 1. Faster And More Efficient Settlement In January 2023, the Dutch bank ABN Amro made headlines by issuing a bond of €450k on the Stellar blockchain. Goldman Sachs, Société Générale, and Santander all assisted the European Investment Bank in their €100M 2-year bond issuance last November. J.P. Morgan has also explored how tokenization can disrupt foreign exchange, completing a cross-currency transaction involving tokenized Japanese Yen and Singapore Dollar deposits. 2. Automated Processes The Hong Kong Government leveraged this efficiency in February 2023, issuing $100M tokenized green bonds on Goldman Sachs’ GS DAP protocol. 3. Fractionated Ownership Tokenized titles simplify ownership allocation and management, lowering the barrier to entry and opening the market to new investors. This democratizes access to market corners currently reserved for a small pool of investors, like Real Estate, Infrastructure, or Venture Capital. A pertinent example was observed in April 2023 when the market cap for tokenized gold soared past $1 billion. 4. Real-Time Transaction Data Tokenizing real-world assets holds the potential to transform finance. From real estate to art, to commodities - the possibilities are endless. BNY Mellon's recent survey underscores this, revealing that 97% of institutional investors concur that tokenization will be a game-changer in asset management. Investment titans like BlackRock and State Street have also emphasized their faith in tokenization's transformative capabilities. https://lnkd.in/eDVJRQPt #tokenization, #realestate, #proptech, #defi, #fintech, #alternativeinvestments, #reental, #abnamro, #goldmansachs, #santander, #jpmorgan, #blackrock

This is gradual but massive. In the long run everyone will have to key in. J.P. Morgan's move to include euros in JPM Coin transactions is a major step in banking, likely to boost cross-border payment efficiency and inspire similar blockchain adoption in other financial giants. Citi's digital tokens for deposits and participation in the Regulated Liability Network could transform international payments, offering quicker, more secure transactions. HSBC's venture into gold tokenization could revolutionize commodity trading, potentially leading to broader asset tokenization. The €100 million digital note settlement for the World Bank exemplifies blockchain's potential in securities markets, potentially streamlining issuing and settling processes. PayPal's exploration of a stablecoin could significantly influence digital currency adoption in daily transactions, given its vast user base.

Deutsche Bank Goes Crypto Deutsche Bank stands at the precipice of a revolutionary shift, embracing the burgeoning world of cryptocurrencies and blockchain technology. Deutsche Bank's Growing Interest in Crypto 2014 marks a pivotal chapter where the financial behemoth initiated its exploration into blockchain technology and digital assets. Fast forward to 2021, the bank unveiled ambitious plans to offer cryptocurrency custody services to its institutional clientele, heralding a phased launch of a digital asset custody platform. This strategic move promises not only a secure haven for buying and selling digital assets but also paves the way for services such as lending and staking. As we stepped into 2023, Deutsche Bank further solidified its foothold in the crypto sphere with a significant investment in the Swiss crypto startup, Taurus, during a $65 million funding round. This collaboration promises to revolutionize the infrastructure for issuing, managing, and trading digital assets. June witnessed the bank seeking approval from Germany's financial regulator to extend cryptocurrency custody services, a testament to its commitment to spearheading innovation in the financial sector. This week: a new milestone with the announcement of a partnership with Taurus SA, integrating its cutting-edge custody and tokenization technology. This collaboration is set to redefine how Deutsche Bank manages cryptocurrencies, tokenized assets, and digital currencies for its clients. Services Deutsche Bank Plans to Offer In collaboration with Taurus SA, Deutsche Bank envisages offering a plethora of crypto-related services, including: 📌Custody 📌Trading 📌Tokenization: Targeting institutional investors like hedge funds and asset managers initially, this forms part of the bank's broader blockchain and digital asset strategy. Motivations for Deutsche Bank's Crypto Push The motivations fueling Deutsche Bank's crypto initiatives are manifold, encompassing a burgeoning market cap exceeding $1 trillion, escalating client demand for exposure to this nascent asset class, and the potential for a lucrative revenue stream. The bank seeks to maintain a competitive edge, aligning with rivals like Goldman Sachs in offering crypto services, and positioning itself at the forefront of the future of finance. Questions remain about crypto's energy consumption and its alignment with ESG credentials. How Banks are venturing into the new World Of Digital Assets? Today a myriad of institutions are laying the groundwork, enhancing compliance measures, and fortifying regulatory capabilities to usher in a new era of digital asset products and services, tailored to meet the diverse needs of their clientele. Dive deeper with the WhiteSight exploration. Will banks become the most trusted partner for digital assets and crypto? #crypto #tokenisations #financialservices #inovation #technology

Deutsche Bank Goes Crypto Deutsche Bank stands at the precipice of a revolutionary shift, embracing the burgeoning world of cryptocurrencies and blockchain technology. Deutsche Bank's Growing Interest in #Crypto 2014 marks a pivotal chapter where the financial behemoth initiated its exploration into blockchain technology and digital assets. Fast forward to 2021, the bank unveiled ambitious plans to offer cryptocurrency custody services to its institutional clientele, heralding a phased launch of a digital asset custody #platform. This strategic move promises not only a secure haven for buying and selling digital assets but also paves the way for services such as lending and staking. As we stepped into 2023, #Deutsche Bank further solidified its foothold in the crypto sphere with a significant investment in the Swiss crypto startup, Taurus, during a $65 million funding round. This collaboration promises to revolutionize the infrastructure for issuing, managing, and trading digital assets. June witnessed the bank seeking approval from Germany's financial regulator to extend cryptocurrency custody services, a testament to its commitment to spearheading innovation in the financial sector. This week: a new milestone with the announcement of a partnership with Taurus SA integrating its cutting-edge custody and tokenization technology. This collaboration is set to redefine how Deutsche Bank manages cryptocurrencies, tokenized assets, and digital currencies for its clients. Services Deutsche Bank Plans to Offer In collaboration with Taurus SA Deutsche Bank envisages offering a plethora of crypto-related services, including: 📌#Custody 📌#Trading 📌#Tokenization: Targeting institutional #investors like hedge funds and asset managers initially, this forms part of the bank's broader blockchain and digital asset strategy. Motivations for Deutsche Bank's Crypto Push The motivations fueling Deutsche Bank's crypto initiatives are manifold, encompassing a burgeoning market cap exceeding $1 trillion, escalating client demand for exposure to this nascent asset class, and the potential for a lucrative revenue stream. The bank seeks to maintain a competitive edge, aligning with rivals like Goldman Sachs in offering crypto services, and positioning itself at the forefront of the future of finance. Questions remain about crypto's energy consumption and its alignment with ESG credentials. How #Banks are venturing into the new World Of Digital Assets? Today a myriad of institutions are laying the groundwork, enhancing compliance measures, and fortifying regulatory capabilities to usher in a new era of digital asset products and services, tailored to meet the diverse needs of their clientele. Dive deeper with the WhiteSight exploration. Will banks become the most trusted partner for digital assets and crypto? #tokenisations #financialservices #technology #isapexchange #isapsolutions iSAP Exchange FZCO iSAP Solutions ltd Tino Herold

It's kind of surprising how the South Asian financial scene (except India) isn't really jumping on the digital assets bandwagon. Encouraging a shift in mindset could unlock substantial growth opportunities and propel financial innovation. #Cryptoadoption #FinancialRevolution #FinanceVibes

The Swiss regulator FINMA wants to tighten the established staking practice in Switzerland and restrict staking services to licensed banks only thus skipping all the other existing service providers as well as the ones already moving ahead in establishing a staking service. I truly hope that the regulator will reconsider and seek an open discussion with the market participants and established digital asset bodies. Everyone understands that regulation is very important and a necessity for a mass adoption. But this approach does not make it particularly attractive or practicable for banks and excludes an existing segment of providers. Services might go elsewhere. Existing clients owning digital assets may have to alter the staking provider. I am certain there is a good Swiss solution that balances the needs out. Let’s stand together to resolve to the best. See below article for details by Crypto Valley Journal #digitalassets #web3

Wall Street is ready to take over Crypto and the biggest players made their first steps in 2023! It's going to be a wild 2024, and here's what Wall Street did this year: 1. JPMorgan Chase & Co. Chase introduced euro-denominated payments to its blockchain system JPM Coin in June, letting companies shift cash automatically through programmable payments. BlackRock used JPMorgan's Tokenized Collateral Network to turn shares in one of its money market funds into digital tokens, which were then transferred to Barclays as collateral for an over-the-counter derivatives trade. 2. Societe Generale crypto asset subsidiary Societe Generale - FORGE issued a euro-denominated stablecoin on the Ethereum blockchain, listed on crypto exchange Bitstamp. AXA Investment Managers used the stablecoin to purchase Societe Generale's digital green bond that month. 3. Citi started piloting Citi Token Services, transforming customers' deposits into digital tokens that can be sent instantly anywhere in the world. It is also working alongside an interoperable network for wholesale payments called the Regulated Liability Network. Citi became the first digital custodian participant in fractional bond. 4. HSBC launched a platform that uses DLT to tokenize ownership of physical gold held in its London vault and plans to offer institutional clients a custody service for tokenized securities. 5. Euroclear launched a platform for issuing traditional securities using blockchain which was used by The World Bank to raise €100 million through a digital note. The note was listed on the Luxembourg Stock Exchange. Citigroup acted as the issuing and paying agent, TD Securities as the dealer and Euroclear Bank was the issuer central securities depository in the transaction. 6. Franklin Templeton used the Polygon Labs blockchain to process transactions and record share ownership for a US-registered mutual fund and later applied for a spot Bitcoin ETF. 7. PayPal launched its US-dollar-denominated stablecoin PYUSD. 8. Fnality International digital payments system had processed its first sterling transactions. The platform enabled Lloyd's, Santander, and UBS to transact in a digital cash asset-backed 1-to-1 by funds at the Bank of England. A month earlier it raised £77.7 million in a funding round led by Goldman Sachs and BNP Paribas. 9. DWS Group and Flow Traders teamed up with Galaxy to form a new company that will issue a euro-denominated stablecoin. 10. MoneyGram International enabled customers to use a stablecoin and blockchain infrastructure to send remittances. 11. The Depository Trust & Clearing Corporation (DTCC) is the main clearinghouse for the US stock market-acquired blockchain startup Securrency, whose technology could allow DTCC to facilitate the issuance of securities like exchange-traded funds on blockchain networks. #wallstreet #blockchain #crypto #blackrock #paypal

If you are still wondering what is happening or if you are already implementing and have issues, feel free to write to us. We at Palmatrix are here to support and educate #financial #institutions on this journey of future finance. In production: ✅ digital asset exchange infrastructure with 100+ crypto exchanges connectivity and internal order book for token listing, ✅ asset management application with multi layer referral system, ✅ crypto payment infrastructure that you can integrate into any POS device and that accepts payments via any kind of wallet, ✅ multi exchange trading tools with mobile first UX - trade as you go. Also, coming soon: 🚀 AI virtual broker for 24/7 support and trading, 🚀 #SORA wallet integration with multi-asset staking and DEX trading features, And more… Don’t be late, #Bitcoin #halving is happening in April 2024. For more info on why is this important for your decision to do it now, feel free to write to us. Happy December ☀️🎉