ERC3643 Association’s Post

Last week I got to chat with a trad-fi guy who told me "I don't understand that tokenization idea for #VC, or why are you telling me that there is a new tech to make it compliant for securities laws, explain as if I were a 10 year old!". This week I realized that would be a great idea for a post. Yeah, it took me a week but here we go: Imagine you have a special toy that you want to share with your friends, but there are rules about how you can share it so that everyone stays safe and plays fair. The new tech (called the ERC-3643 standard) is like a super cool instruction book for sharing your toy. It makes sure you follow all the important rules, like making sure your friends are nice, sharing fairly, and keeping track of who has the toy. For VC investors, this toy is like a special kind of money or investment called a token. Tokenization is like turning investments into easy-to-trade digital cards, making it super simple for people to buy and sell them whenever they want. ERC-3643 helps them share these tokens in a way that follows all the important laws and keeps everything fair and safe. This is super important for things like venture capital, where people invest money in new ideas and companies, because everyone needs to be sure that everything is done correctly and everyone follows the rules. Following the rules is super important, otherwise the bully of the class, called the U.S. Securities and Exchange Commission will take your lunch :/ If you liked this simplified explanation let me know, so I can share more complex ideas with this format. ERC3643 Association thanks for sharing! Elias Juan Leverett James M. Kristoffer Kizer, CPI®, ASBC® Andrew Gonzalez Levi Reed #vc #digitalassets #venturecapital #equity #startups #funding #pe #cvc #privateequity #blockchain #tokenization #rwa #ai #realworldassets

The ERC3643 protocol is an open-source suite of smart contracts that enables the issuance, management, and transfer of permissioned tokens. Its built-in decentralized identity framework, ONCHAINID, ensures only users meeting pre-defined conditions can become token holders, even on permissionless blockchains. #tokenization #digitalassets #rwa #erc

Corner case of ERC20 - ERC-20 does not stipulate that transfer must throw if the message sender holds insufficient balance. Instead, returning false is compliant with ERC-20 and implemented by many tokens, including BAT, cUSDC, EURS, HuobiToken, ZRX and many more. #ethereum #btc #smartcontracts #auditor #web3 #web3 #web3security

🌟 Did you know... Globiance Exchange and it's #GBEX Token are ISO20022 compatible? 🌏 💱 ISO20022 equals smoother transactions, enhanced data clarity, and seamless communications with global financial systems. 🌍 💼 Whether it's business or individual transacting, you'll appreciate the benefits of enhanced efficiency and accuracy you'll receive from using an ISO2002 compatible platform. 💪 #ISO20022 #Fintech #XDCNetwork #GBEX #Exchange #Crypto #Digital #Fiat #Rewards

ERC404 is here- The perfect blend of ERC20 and ERC721 standards. In one week itself, it has gained $87 million in trading volume on decentralized exchanges. This standard is fresh out the oven, and the potential is huge. Be the first to explore and reap the rewards. Key Highlights: 1. Hybrid functionality 2. Open-source development 3. Enhanced efficiency 4. Major exchange support Check out projects like Pandora to see this beast in action! They're already making waves and you don't wanna miss out. Read more here- https://lnkd.in/drgXNQm6 #ERC404 #fractionalNFTs #ERC20 #ERC721  

𝗧𝗼𝗸𝗲𝗻𝗶𝘇𝗶𝗻𝗴 𝗥𝗲𝗮𝗹-𝗪𝗼𝗿𝗹𝗱 𝗔𝘀𝘀𝗲𝘁𝘀 (#𝗥𝗪𝗔): #𝗘𝗥𝗖𝟯𝟲𝟰𝟯 ▶️ #ERC3643 standard offers a valuable feature that enables users to recover their tokens if they lose access to their accounts. This is achieved through a system that allows authorized persons to restore access to tokens, similar to how it works in traditional systems. This feature is essential for users as it helps protect their rights and ensures that they can regain control of their tokens in case of any unforeseen circumstances. ▶️ #ERC3643 enables you to set specific transaction conditions, guaranteeing regulatory compliance. You can easily customize these conditions, ensuring a safe and secure financial environment country of origin. By incorporating these measures, we can ensure a safer and more secure financial environment for all users. ▶️ #ERC20 standard is commonly used in EVM networks, which means that tokens created using #ERC3643 are highly compatible. This allows them to be traded on various decentralized exchanges and used in different #DeFi protocols, which ultimately enhances the usability, efficiency, and liquidity of tokenized assets through #ERC3643. ▶️ #ERC3643 protocol is an open-source suite of smart contracts that enables the issuance, management, and transfer of permissioned tokens. Its built-in decentralized identity framework, onchain ID, ensures only users meeting pre-defined conditions can become token holders, even on permissionless blockchains. #ERC3634 #DeFi #RWAs

Blockchains are developed with unique rules and mechanisms, making them unable to communicate or freely share tokens. Bridges connect these blockchains, enabling the transfer of information and tokens between them. 📈 #LFi #LFiOne #DeFi #LFiEcosystem

As leaders in the DLT space, R3 consistently champions the critical importance of interoperability. Our focus is delivering robust, production-ready solutions that work together. The #EEA case study sets these standards, showcasing seamless cross-chain settlement of securities and cash between R3's Corda and Ethereum DLT technologies. Highlighting collaboration between Fnality International, HQLAᵡ, and Adhara, enabled by the Enterprise Ethereum Alliance (EEA) Interoperability Specifications. Read the full report below: https://lnkd.in/e5zJTqXy #DLT #Interoperability #Corda

I read the EBSI Verifiable Credentials (VCs) revocation report (https://lnkd.in/epk77ukd) and was also, in parallel, turned on to Bit Strings as a method of handling revocations. https://lnkd.in/eY-YG3u2 . Unfortunately, I don't have enough background on the European Blockchain Service Infrastructure (EBSI) to form an opinion on it independent of VCs but I am always reticent that folks will conflate VCs and blockchains so anytime VC mechanisms tie into blockchains I am always a bit wary. Despite this wariness, the whitepaper makes good arguments, especially in the "issuer-always-up" approach as needed by Bit Strings. I worry about the effective loss of a persistent VC by the holder if an issuer disappears which the EBSI helps protect against. This worry about "issuer-always-up" is assuming the lack of an explicit revocation status is effectively a revocation. In both EBSI and Bit Strings, I think the status flags need to be defined in the specification. That is very limiting, I know, but how are automated systems to operate against a flag where a 1 might mean "revoked" by one issuer and mean "not revoked" by another? Plus the additional potential flags such as "suspended" and others that I am sure I can't think of now but some issuer will. A convention on flags might work, but it concerns me. It's hard enough to get specifications followed much less a convention scheme. What does it all mean? Simply, if you have an interest in VCs then you should read the report and read the Bit Strings draft specification and see what you think #verifiablecredentials 

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