Polygon Labs’ Post

🚨 🚨 🚨 Spiko launches tokenized money market funds on Polygon Labs Polygon PoS and Ethereum 🚨 🚨 🚨 I'm often asked how to succeed at tokenization, and my answer today is simply to study Spiko. Here's why they had $50m committed before launch: 1. Unlocking a new market Money market funds aren't available to European retail and SME investors. With Spiko, they have direct access to risk-free returns, with the same guarantees and protections as institutional investors. 2. Matching compliance with composability Your fund units are stored in your wallet as ERC-20s, with custodial and non-custodial modes. The assets both benefit from composability, whilst offering the same controls and protections as with legacy infrastructure through collaboration CACEIS (custodian, fund admin), Twenty First Capital (asset management) and PwC (audits). 2. Owning distribution None of the above matters if investors aren't aware of the product. Instead of simply issuing and waiting for the investors to come, Spiko owned the distribution and received commitment to the tune of $50m before launch. Study Spiko!

Tokenization is poised to be the game-changing solution to address the instability and limited scope of Decentralized Finance (DeFi). While DeFi holds immense potential to revolutionize the finance industry, its current detachment from Real World Assets hinders its progress. However, with the introduction of Tokenization, this landscape is set to transform. By integrating with real-world assets through tokenized versions of financial instruments like bonds, equities, and debt, as well as tangible assets like gold, real estate, and art, DeFi protocols can gain greater relevance. This inclusion of more stable assets in DeFi will not only enhance the safety of users' investments but also make the protocols more accessible to a wider audience. The combined value of Real World Assets amounts to hundreds of trillions of dollars, and if DeFi can capture even a fraction of this market, it will experience tremendous growth and drive its revolution in the financial sector. https://lnkd.in/gqQFCTas So what is Tokenization? Find out here https://lnkd.in/ggMyEpfH Check out our first Buyout offer for 18SML https://lnkd.in/g8tM3VnU

Libre and Libeara: Tales of #tokenization in 2024 The push to tokenize financial assets continues apace this year from multiple angles. Just this past week we have seen the reveal of Libre, a tokenization platform for #TradFi users, starting with the hedge fund industry. Libre is a little like a #DeFi protocol for TradFi users, running on the Polygon Labs CDK but integrating the legal compliance required of TradFi investors. Backed by Nomura's Laser Digital, early users include Brevan Howard and Hamilton Lane, who are keen to harness the efficiencies of tokenized assets - just like we are at ChronoCap! As the head of digital assets at Hamilton comments: "We believe that tokenisation has the potential to revolutionise the way investments are managed and traded, and are focused on strategically partnering with other leading firms to improve compliance and streamline access to the private markets through initiatives like Libre. We are excited by the possibilities the launch of Libre will bring and are thrilled to be collaborating with these innovative partners to help transform the private markets landscape.” Coincidentally, the reveal of Libre follows on from the launch of the similarly-named yet unconnected tokenization project Libeara from SC Ventures by Standard Chartered. While Libre's focus is on tokenizing investment funds, Libeara goes one step closer to the source and is tokenizing the assets that underpin the entire global monetary system: Government bonds. The Singaporean government will be issuing debt via Libeara to accredited investors, a process which the firm hopes will draw other actors to list new assets, or digitize existing ones. Similar to the #blockchain technology driving it, the tide of tokenization is not centralized: Multiple organizations are bringing multiple different assets onchain (or at least onto #DLT) without co-ordination. Our own tokenization mission at ChronoCap is similar to these titans of TradFi, but also entirely different. We don't intend to tokenize traditional investment funds or government debt; we are tokenizing emergent asset classes like luxury watches so that investors can finally gain access to the uncorrelated returns they bring. More to come! https://lnkd.in/e8ydXS5C

**Breaking News:** 🚀💸 DeFi layer 2 network Mode set to receive up to 2 million OP (approx. $5.3 million) grant from Optimism (OP) Foundation; plans to contribute sequencer profits to Optimism Collective, joins Law of Chains, aiming to be a DeFi hub for Superchain with mainnet launch in late January. #Bitcoinworld

Learn the essential steps to take before investing in crypto from our CIO at Facet, Tom Graff. Unlike other investment experts, Tom empowers investors to learn about all asset classes—even the ones he doesn’t invest in. #crypto #financialplanning #financialwellness #fintech

🚀 Fundraising in the crypto space: ICO vs. IEO vs. STO 🌐 As the crypto market continues to evolve, it's important to understand the nuances of fundraising methods. Let's break down the differences between initial coin offerings (ICOs), initial exchange offerings (IEOs) and security token offerings (STOs): ICOs: Pioneered crypto fundraising by offering utility tokens with minimal regulation. However, they faced credibility challenges and lacked investor protection. #ICO #CryptoFunding #UtilityTokens IEOs: Introduced by exchanges to address ICO issues. These exchange-mediated token sales offer greater credibility and some investor protections. #IEO #ExchangeOffering #InvestorProtection STOs: Represent a regulated evolution. STOs tokenise real assets, comply with securities laws and provide investors with rights and regulatory protection. #STO #SecurityTokens #RegulatoryCompliance Understanding these differences is critical for entrepreneurs and investors navigating the crypto fundraising landscape. Each method comes with its own set of pros and cons, impacting factors such as investor protection, regulation and market stability. The choice between ICOs, IEOs and STOs depends on project goals, compliance requirements and investor preferences. What do you think about these models? #CryptoFinance #Tokenisation #BlockchainInvesting #FinancialInnovation #CapitalRaising

ICOs, IEOs, and STOs: Where Do They Stand Now? ICOs: Regulatory concerns and fraudulent projects led to a decline in popularity. Although less trendy, they're still occasionally used in more lenient regulatory environments. IEOs: Initially considered more secure than ICOs, their prominence may have declined. By involving exchanges that conduct token sales, they aimed to provide greater credibility. STOs: Representing a regulated evolution, STOs comply with securities laws and tokenise real assets. They continue to attract attention, particularly from institutional investors seeking regulated exposure. The crypto fundraising space has changed, influenced by regulation, market dynamics and evolving investor preferences. Newer fundraising models may have emerged since then, impacting the choices available. What are your thoughts on these changes? 💬 #CryptoFundraising #ICOs #IEOs #STOs #Regulations #Cryptocurrency #Blockchain #InvestmentTrends #stoadvisory

This is a good read by Jeff Wilser. The tokenization of Real-World Assets (“RWA”) alone does not create liquidity, a liquidity solution is required. As part of TP4 Digital Assets capital markets rail structure the Firm is introducing a decentralized finance automated market maker (“AMM”) with liquidity pools for digital securities. I believe what I'm trying to build "a new capital markets rail structure for digital securities" is needed for the growth of RWA. There are five parts to TP4 Digital Assets capital markets rail structure that need to work seamlessly together as one larger market system: 1. Special Purpose Broker Dealer to custody of digital securities 2. Clearing Agency (Data portal of information-including public wallet addresses) 3. National Digital Securities Exchange (not an ATS) using DeFi AMM liquidity pools 4. TP4 custody/liquidity solution 5. Enterprise DLT/Blockchain Network-Avalanche Evergreen? I'm happy to discuss what I'm trying to build. Avalanche Morgan Krupetsky John Wu https://lnkd.in/g_AZs-vp

Later this year, Ethereum could reach a record. "Such a prediction is based on the approval of 8 funds based on ETH listings and the course of BTC listings, which has already blazed a trail to its All Time High,” justifies Invest.Conotoxia.com analyst Grzegorz Dróżdż, CAI MPW. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 71.48% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. Trading on CFDs is provided by Conotoxia Ltd. (CySEC no.336/17), which has the right to use the Conotoxia trademark.

The Block reported OKX is phasing out #USDT trading pairs in the European Economic Area. The delisting comes as a result of the Markets in Crypto Assets Regulation (MiCA) which is planned to be fully effective on 30 Dec 2024, and would restrict the use of certain stablecoins in the EU. Opportunities lie for EURO backed stablecoin projects to develop solid and compliant technology solutions and products for innovative payment systems.