Tokenization Model
Last updated
Last updated
At InVaria2222 🏜, we believe that real-world-assets represent an untapped opportunity in the world of decentralized finance.Our platform is built to provide secure and efficient solutions without being limited to financing for a range of real-world assets, from real estate to commodities. By using blockchain technology to tokenize these assets, we can unlock their value and provide investors with new opportunities for wealth accumulation and diversification.
Tokenization, the process of converting an asset, such as a piece of property, equity, or debt, into a digital token that can be traded on a blockchain network or in the form of a digital currency. This process allows for fractional ownership, increased liquidity, enhanced asset security, etc.
For example, you can own fractional ownership of an apartment by purchasing asset-backed tokens without sophisticated procedures to increase liquidity by allowing investors to buy and sell tokens more easily. In addition, you can claim the rentals or the income generated from real activities with simple steps from a specific tokenization mechanism. Investing in real estate or other TradFi vehicles will become easier at the global level without having to surrender the safety of assets.
Asset onboarding refers to the process of bringing an asset and data onto a blockchain network, typically through tokenization. This process involves creating a digital representation of the asset, such as a security token (through STO) or an asset-backed token, that can be stored and transferred on the blockchain frictionlessly.
By using blockchain technology, users will have access to transparent sources of data about their tokenized assets, such as basic information, asset documentation, ownership and transaction history, etc. The onboarding process may also involve compliance with regulatory requirements, such as Know Your Customer (KYC) and Anti-Money Laundering (AML) policies.
InVaria2222 is the platform and infrastructure that facilitates the adoption of tokenization, and explores the innovation of on-chain RWAs. Within InVaria2222, we utilize NFT as a credential for RWA tokenization & fractionalization, either for asset onboarding or investment. By bringing the assets into the crypto space, we conduct a trust-minimized model through tokenization, data sharing and compliance framework.
About on-chain, data and rights are secured by blockchain and certain smart contracts. Investors can check the data of assets, like valuation, location, asset owner, or the benefits related to tokenization through the website and smart contracts. Besides, we collaborate with Oracle service providers (ex. Chainlink) to make on-chain data available to update and verified from third parties. Using a multisig wallet and on-chain risk monitor system is the way to protect funds and assets in the highest safety mode.
About off-chain, due diligence, KYC & AML policy, legal agreement and setting an SPV is the required process for InVaria2222 to issue asset-backed tokens in a secure way. Also, maintaining communication with regulators, keep facilitating industry-level guidance is important.
To sum up, the framework for RWA tokenization should ensure that assets are properly evaluated, tokenized, and free to trade on blockchain networks. It should also ensure that investors have access to accurate and timely information about the assets they are invested, and also assets are protected by robust legal and regulatory frameworks, or at least secured by the smart contract.