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- Investment and trading firm Assetera has selected Layer 2 network Polygon for its secondary market real-world assets platform.
- It will offer tokenization for securities, money market instruments, and funds, utilizing stablecoins for payments.
Assetera, an Austrian firm that offers blockchain-based financial instruments, has selected the Ethereum Layer 2 scaling network Polygon to deploy its real-world asset tokenization platform.
Assetera is based in and regulated by Austrian authorities and allows users to tokenise, trade and manage any asset in a similar way to bonds and stocks. It offers investment services in CFDs, derivatives, funds, certificates, and just about any other asset.
With Polygon, Assetera will leverage the network’s smart contracts to facilitate secure peer-to-peer trading. By eliminating middlemen, the platform can offer lower costs and fees while minimizing the risk of fraud.
Blockchain also offers atomic swaps, where the buyer and the seller are required to fulfill their obligations simultaneously. This eliminates counterparty risk as each party is guaranteed that the other side of the transaction will be fulfilled, fostering long-term trust among the participants.
Assetera holds a comprehensive MiFID II license and is regulated by the Austrian Financial Market Authority. It has revealed that it intends to upgrade its compliance to adhere to the Markets in Crypto Assets (MiCA), the regional crypto framework in the EU that takes effect next year. MiCA has already started shifting how crypto companies operate, forcing stablecoin issuers to acquire new licenses and exchanges to step up their KYC and AML systems. To comply with the heightened regulations, Assetera has enrolled in the services of Fireblocks, Chainalysis, and Sumsub.
In a statement to media outlets, Assetera CEO Thomas Labenbacher noted that building atop Polygon “opens up a world of possibilities for asset owners and investors, so that there is a level of liquidity and accessibility previously unimaginable.”
He added:
The Polygon Proof-of-Stake mechanism ensures that we can scale this revolutionary platform sustainably without compromising on security or regulatory compliance.
Tokenization on Polygon
Assetera is one of several companies that are building their tokenization projects on Polygon. While Ethereum remains the market leader in the sector, its high fees and scaling bottleneck have made building on it unfeasible. Polygon has emerged as the ultimate solution as it leverages the security and decentralization of Ethereum but with state-of-the-art scaling, low fees, and high efficiency.
Today, Polygon has over 400 million unique addresses and hosts over $2 billion in bridged assets, making it one of the world’s most used blockchains in the world.
With 400M+ unique addresses, $2B+ assets bridged from Ethereum, and tens of thousands of apps, Polygon PoS remains one of the most used blockchains in the world 🌎
Users and devs build with PoS because of its strong community, network effects, and Ethereum-for-all low fees.…
— Polygon | Aggregated (@0xPolygon) September 25, 2024
Polygon is set to become an even more attractive network for developers with the integration of AggLayer. As we reported, AggLayer is an aggregation layer that will unify the Web3 ecosystem, eliminating the sector’s scaling bottlenecks.
Meanwhile, POL trades at $0.4297, gaining 4.36% in the past 24 hours, which is in line with a broader uptrend that has pushed the overall market cap to $2.28 trillion.
