Forkless happy: Tezos is the focus of a cooperation between three finance and technology companies from the Swiss Crypto Valley.
Smart contracts form the basis for the world of decentralized financial services (DeFi). But the CeFi sector is also increasingly discovering the possibilities of blockchain technology. While the crypto space is currently waiting eagerly for the smart contract to be introduced at Cardano, another Ethereum competitor, Tezos (XTZ), was able to land a prestigious partnership. The Swiss companies Crypto Finance, InCore Bank and Inacta will in future rely on Tezos for the tokenization of assets.
Tezos: the new standard?
For this purpose, the IT company has developed a new token standard called “DAR-1”. DAR-1 is based on the Tezos FA2 standard. FA2 enables both single and multi-token smart contracts via a standardized programming interface. The token standard allows multiple transfers of different tokens (types) in a single transaction.
The development of Crypto Finance, InCore Bank and Inacta is a concrete example of how FA2 on Tezos significantly increases the potential of tokenization. The introduction of these new Tezos use cases for the financial sector make innovative and legally compliant on-chain financial products a reality,
says Stijn Vander Straeten, CEO of Infrastructure Services at Crypto Finance, in a joint press release on the cooperation.
It also explains why they chose Tezos and not another smart contract platform such as the genre king Ethereum. With Tezos upgrades, there are no forks that cause chaos and, in the worst case, compromise network security.
Tezos was chosen to promote the new standard for asset tokenization because its on-chain governance enables upgrades without disrupting or disrupting the network.
This makes XTZ attractive for financial service providers because they can integrate Tezos upgrades so seamlessly into their product range.
Focus on institutional clients
In the same press release, InCore Bank announced the launch of XTZ staking services for its institutional clients. InCore is the first federal B2B bank to make this possible. The XTZ staking is to take place directly via the e-banking portal of InCore Bank, with Crypto Finance taking over the crypto custody. Together with Inacta and “other participants in the ecosystem”, InCore Bank plans to issue a series of security tokens on Tezos this year.
These new launches establish the named partners as pioneers in the digital asset industry and open the door for innovative new financial market participants to benefit from the attractive investment opportunities on the Tezos blockchain,
it says in the press release.
The Tezos price is trading at the time of going to press with a slight daily gain of 2.5 percent at USD 4.11. Up to the all-time high, more than 100 percent are still missing: On May 7th, XTZ had set its previous price record at USD 8.27.