According to a press release on Tuesday, August 24, Tezos has been selected to enable smart contracts functionality for leading European banks to build new financial products. As a part of this program, Crypto Finance, InCore Bank, and Inacta have developed a new Tezos token standard for asset tokenization based on the Tezos FA2 standard.
This new Tezos token standard is called DAR-1 and is developed by Inacta, a Swiss IT company. The product is launched by Crypto Finance, a leading provider of institutional and professional investor products and services for digital assets, and InCore Bank, a business-to-business transaction bank.
According to the companies involved, The DAR-1 token standard “enables smart contracts that provide all of the functions necessary to support financial markets, from anti-money laundering regulations to asset governance.” This collaboration of leading Swiss blockchain and financial players aims to enable a banking sector “designed for the future, minimizing legacy issues that imply additional costs and compromises.”
Tezos was chosen to power the new token standard for asset tokenization because of its on-chain governance as it allows upgrades on the network without splitting or disrupting the network.
Stijn Vander Straeten, CEO of Storage Infrastructure with the Crypto Finance Group, commented:
“This work by Crypto Finance, InCore Bank, and Inacta is a tangible example of how FA2 on Tezos broadens the potential for tokenization significantly. The launch of these Tezos use cases for the financial sector make innovative, compliant on-chain financial products a reality today.”
Crypto Finance AG, founded in 2017, is a financial services provider specialized in crypto assets that provides asset management, brokerage, and crypto asset storage infrastructure.
In addition to the new token standard, InCore Bank will be the first Swiss business-to-business bank to launch staking services for the Tezos network as well as trading and storage for the native Tez (XTZ) of Tezos network through Crypto Finance.
InCore Bank also announced that with Inacta, it would launch a number of issuances on Tezos together with other participants in the ecosystem throughout the second half of 2021.
Tezos is becoming increasing popular among financial sector due to its security, reliability, and speed for the next generation of financial services products. As reported, in April 2021, Societe Generale, a French financial service giant, has issued the first structured product as a security token on Tezos public blockchain platform. Many financial service providers have also joined the Tezos ecosystem as corporate baker.
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