The price of Mantra (OM) has suffered a harsh reversal this week, joining other altcoins like Ethereum, Solana, and Cardano.

OM slumped to a low of $0.8160 on Friday, down by over 25% from its highest point this week.

Added to a new RWA fund

Mantra’s OM token plunged even after some good ecosystem news. In a statement, the developers said the token had just been added to Swissborg’s Real World Asset (RWA) thematic basket.

The basket includes other tokens in the RWA industry, such as Synthetix Network, VeChain, Chainlink, Maker, and Polymesh Network. 

This is notable because Swissborg is one of the biggest players in the crypto industry, with almost 800,000 users and over $1.26 billion in assets. Its token has a market cap of over $187 million in assets.

🔥 @SwissBorg, a leading blockchain-based crypto wealth management platform now includes MANTRA’s $OM Token in their #RWA Thematic – an investment basket of top crypto projects in the real world assets vertical.With $1.39B in users' crypto assets and EU licensing, they're… pic.twitter.com/21oZ7VhsGi

— MANTRA – Tokenizing RWAs (@MANTRA_Chain) June 14, 2024

Meanwhile, Mantra’s assets have jumped sharply in the past few weeks. It now has over $46.3 million in assets, higher than the $7 million it started the year at. It also recently expanded to the UAE.

Mantra TVL

With a market cap of over $650 million, Mantra is one of the biggest players in the tokenization industry. Its platform enables the seamless fractionalization and tokenization of real-world assets (RWA), an industry expected to grow to over $10 trillion in the next few years.

Read more: Mantra (OM) hits all-time high amid strategic expansion in UAE

Mantra price forecast

Mantra’s OM token peaked at $1.0960 earlier this month and has now crashed by over 25% as the altcoin sell-off intensified. It has dropped below the important support level at $1, its highest swing on June 5.

The token has also moved below the 50-day and 100-day moving averages, a sign that bears are taking control. It was trading at $0.8095 but has failed to move below that level since June 3. This level is also important because it was the highest swing in April and May.

Therefore, a drop below that level will point to more downside since it will signify that bears have prevailed. If this happens, it could drop to $0.7620.

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Coinspeaker Ethereum Price Correction Is Almost Over, Analyst Gives Bullish Call to $10K

Ethereum (ETH) price has recently come under strong selling pressure amid the broader market consolidation. On Thursday, June 13, despite the SEC Chair Gary Gensler stating that the spot Ethereum ETF will go live for trading by the end of summer, the ETH price continued to trade under $3,500.

While the Ethereum community seems dejected for now, market analyst CrediBULL crypto remains bullish on Ethereum, expecting its price to hit $10,000 during the next bull cycle. The crypto analysts added that it is impossible for Ethereum to stay in the same place, while investors expect the Bitcoin price to cross $100,000.

Although CrediBULL crypto acknowledged the possibility of a 20-30% decline in the ETH/BTC ratio, he said that ETH price downsides against the USD remain limited, a max of 10%.

CrediBULL Crypto notes that while Bitcoin approaches its previous all-time high, Ethereum may experience consolidation near its ATH before potentially rallying further. The analysis suggests that patience may be key for ETH investors, anticipating a period of choppy price movements before a potential significant upward move.

Photo: CrediBULL Crypto

“Just to keep it simple ETH is a higher beta version of BTC, if I think BTC can 2x from here realistically, then ETH should do at minimum, more than that. Even just a 3x would put us at 10k,” noted the analyst. He further added that once the Ethereum price crosses $10K level, it can continue its rally further to $20K. Ethereum for Tokenization

Speaking at a Coinbase event, Blackrock’s CIO of ETF & Index Investments, Samara Cohen, asserted today that permissioned blockchains have fallen out of favor among traditional market participants.

Instead, Cohen highlighted a growing consensus around utilizing open-source Ethereum for tokenization purposes, emphasizing the importance of maintaining liquidity without fragmentation in the market.

Speaking on the development, Ethereum enthusiast Anthony Sassano said:

“Seriously read and digest this. An executive at BlackRock (the largest asset manager in the world) is telling you that the future is public blockchains – specifically, that the future is Ethereum! If this doesn’t make you bullish, nothing will”.

It will be interesting to see whether the Ethereum price hits its new all-time high levels before the spot Ethereum ETFs go live for trading.

next

Ethereum Price Correction Is Almost Over, Analyst Gives Bullish Call to $10K

In a significant development for blockchain adoption, Allo has partnered with Optimism Collective’s Superchain to tokenize $2 billion in real-world assets. This partnership will enable the $2b in real-world assets to be tokenized, marking a major step in the acceptance of blockchain.

The move underscores the growing potential of blockchain, not only as a technology for the forward-thinking present and future, but it also represents a significant step towards building a bridge between conventional financial assets and the digital economy.

The Dawn Of Asset Management

But this integration of Allo with the Superchain will change the way people manage their assets and invest. Allo is a peer-to-peer cryptocurrency futures trading platform and they set out to change how people and institutions transact with physical assets globally, through Providence (to be announced).

Tokenisation is the method used to covert real world assets into digital tokens on a blockchain, enables the trading of the physical assets in real time over DIMI including liquidity, transparency and access.

The Superchain initiative is at the center of Optimism Collective’s mission to restore democracy and equity to finance. Since Optimism is a Layer 2 solution to Ethereum, this will allow many to work on the Allo tokenization system as the platform has been designed for scalability and reducing cost.

Welcoming @allo_xyz to the Superchain! https://t.co/ZX3Jv4L5p6

— Optimism (@Optimism) June 14, 2024

Instant Global Settlement is one of the headline features that are made possible by this partnership. Trading most real-world assets are frustratingly slow and restricted (due to these needing a lot of location validation). By removing these obstacles, the Superchain technology hypothesizes that blockchain transactions cross borders at speeds comparably faster than the existing ones which is also secure.

A comparison: Real world assets (tokenization) ->2B

It appears the market is ready to move beyond an isolated few, to mass, real world, use case, North of $2b in Assets tokenized with Allo is not only a first, but the largest to datejets on to the blockchains. In other words, Allo is opening up a fresh market where anywhere from property, commodities or even artwork can be tokenized and then traded and monitored on a decentralized platform.

As a result, the total capital that enters the blockchain space, corresponds to the real technological utility and financial potential of the realm of decentralized asset management, thus attracts institutional and retail investors into the blockchain world. And this in turn can provide a reasonable footing for the markets on the one hand and an even stronger investment strategies on the other hand which could take the best from good old asset classes and their digital twins.

Real-world assets (RWAs), either tangible or intangible, include a wide range of assets – from physical items like art and real estate to financial instruments such as stocks and bonds. All of which can be tokenized into digital tokens on the blockchain. 

Real World Assets on Blockchain are transforming the game in how we invest by offering increased liquidity, transparency and accessibility. By turning things like art and real estate into digital tokens, it lets more people own parts of these typically exclusive assets. In other words, allowing fractional ownership and democratizing access to these traditional asset markets.

Learn more about Real-World Assets (RWAs) with this DroomDroom article offering an in-depth exploration of RWAs, from use cases to protocols and more.

Among the foremost companies leading this domain, Artfi stands alone in its innovative approach of intersecting art and blockchain to democratize the traditionally exclusive art market.

By tokenizing high-value artworks, Artfi not only makes art investment more accessible but also integrates these assets into the DeFi ecosystem–ultimately making possible innovative use cases such as obtaining loans against art pieces, or investing in tokenized real estate for passive income.

Let’s explore Artfi’s role in advancing real world assets on blockchain tokenization, the multi-faceted benefits it offers, and the broader impact on the art market and DeFi.

Partnered with industry giants like Binance Pay, Metamask, Phantom, Solana Pay, Coinbase, OKX and many others, @artfiglobal is revolutionizing art investments!Get ready to jump into the future of fine arts! IDO: June 13th – 14th*Don’t forget to register for the IDO pic.twitter.com/9UhuCD8opv

— Seedify (@SeedifyFund) June 11, 2024

Seedify announcement on X of Artfi IDO Artfi’s Innovative Approach to Real World Assets on Blockchain

Artfi has disrupted the art investment sector by using real world assets on blockchain technology to tokenize high-value artworks. The art market innovator’s process involves:

Meticulously selecting high-value artworks with impeccable provenance and rigorous evaluation.

Then, those selected artworks are digitized and tokenized on a blockchain platform to ensure fidelity and security.

Later on, these tokens are then divided into smaller fractions for multiple investors to own a portion of the artwork.

Ultimately, Artfi provides a dynamic marketplace for trading these tokens, integrating with major cryptocurrency exchanges to enhance liquidity.

By combining RWA and Fractionalisation through Blockchain integration Artfi is transforming the Art industry! For the first time in history, the barriers to entry are gone and anyone can invest in the $1.7 trillion fine art market. Join the revolution and become a part of this… pic.twitter.com/hy1IypMyui

— Artfi (@artfiglobal) June 9, 2024

Artfi opens up the $1.7 trillion art market to everyone.

Undoubtedly this approach addresses several key challenges that are existing in the art market today – such as high entry barriers, illiquidity and lack of transparency. It can arguably be said that Artfi provides several transformative advantages such as:-

Enhanced Liquidity

The illiquidity of traditional art investments often means a significant loss in value when sold pretty hastily. Artfi’s model supports 24/7 trading of art tokens to increase liquidity of real world assets on blockchain.

Wider Accessibility

Artfi lowers the financial threshold for art investment as the digital art venture invites an extensive array of investors into the world of real world assets on blockchain.

Unmatched Transparency

The blockchain serves as an immutable ledger that meticulously records each transaction and ownership change – which ultimately enhances security and authenticity for real world assets on blockchain.

Market Democratization

By allowing retail investors to engage, Artfi breaks down barriers traditionally faced by non-elite investors, democratizing access to real world assets on blockchain.

These benefits do more than just attract investors – they create a more stable and predictable market environment.

This article explores the traditional lack of liquidity in the art market, where artworks were difficult to sell quickly but Artfi is enabling fractional ownership of those expensive pieces.

Impact and Innovations: A Closer Look at Artfi’s Initiatives

A key case study in Artfi’s impact is the tokenization of Joan Miró’s “Peinture (Femme au Chapeau Rouge),” valued at $28.7 million. This incredible project allowed thousands of investors to claim a stake in a prestigious artwork, thus bringing about a communal investment ethos through real world assets on blockchain.

This extensive article by DroomDroom describes how Artfi allows artists to sell their work for a higher price and to connect with a wider audience of potential buyers. Give it a read here.

Further strengthening the stage of investor relations, Artfi has developed a knowledge hub and an ambassador program to educate and engage prospective investors. 

Challenges and Artfi’s Solutions

Despite its innovative approach, Artfi faces several challenges that are common to the Real World Assets on Blockchain sector:

1. Regulatory Compliance: Ensuring compliance with diverse regulatory frameworks across different countries is extremely complex.

-Artfi addresses this by engaging with legal experts to walk through these intricacies.

2. Custodial Issues: Safeguarding the physical artwork while its digital tokens are traded poses a logistical challenge. 

-Artfi’s solution includes maintaining a secure, centralized custodial service in Dubai that ensures the physical assets are protected and insured.

3. Market Acceptance: Gaining trust and acceptance from traditional art collectors and investors requires demonstrating the security and benefits of this incredible technology. 

-Artfi’s educational initiatives and transparent operations help build this trust.

Broader Implications for DeFi and Beyond

The integration of RWAs into DeFi platforms definitely creates a mark of significance in the financial ecosystem. By tokenizing physical assets like art, DeFi platforms can offer diversified investment opportunities, reduce volatility and attract traditional investors.

Conclusion

Artfi truly showcases what blockchain can do when it comes to reshaping traditional markets with real world assets on blockchain tokenization. By tackling some core inefficiencies in the market and rolling out solid solutions, Artfi isn’t just making a mark in the digital economy – it’s also paving the way for new innovations across different asset classes.

The success of Artfi’s model truly proves just how crucial it is to have the right legal frameworks, stay ahead with tech, and provide comprehensive market education. It’s all about making the most of what blockchain has to offer for real world assets on blockchain.

The post Holograph Drops 60% Resulting In $14.4M Loss appeared first on Coinpedia Fintech News

Holograph’s tokenization platform was hacked which resulted in a loss of $14.4 million. The hackers exploited Holograph’s operator contract to mint 1 billion HLG tokens. HLG’s value dropped by 60% following the hack as the token’s price fell from $0.014 to $0.0029 in just ten minutes. The hack involved nine transactions starting on June 13 at 9:47 am UTC, as per Etherscan data. The team has patched the initial exploit & is working with exchange partners to lock the malicious accounts. It has also launched an investigation & is in the process of contacting law enforcement. 

According to CryptoPotato, Paxos, a company known for issuing stablecoins, has reduced its workforce by 20%, resulting in a loss of 65 employees. This information was revealed in an internal email. Charles Cascarilla, the CEO and co-founder of Paxos, stated that this reduction would enable the company to seize future opportunities in the stablecoin and tokenization sectors. The company plans to discontinue some of its services to concentrate on these areas.

The affected employees were offered three months of subsidized health insurance, outplacement support, 13 weeks of severance pay, and a two-year extension to exercise vested options. Employees participating in a quarterly incentive program will receive bonuses for the second quarter. Those on approved parental or medical leave will receive certain payments and benefits. Following these layoffs, Paxos' workforce now ranges between 200 and 300.

Despite the layoffs, Cascarilla confirmed that Paxos is in a strong financial position, with over $500 million in its balance sheet. He took responsibility for the decision, expressing regret but emphasizing the opportunity ahead in tokenization and stablecoins. The layoffs at Paxos follow a similar move by crypto payments infrastructure company MoonPay, which recently let go of 10% of its workforce due to overinvestment and a high-cost structure.

In related news, Paxos' United Arab Emirates branch recently launched a new yield-bearing stablecoin, the Lift Dollar (USDL). The USDL is designed to distribute the yield generated from its reserves to eligible wallet addresses daily.

Ripple Labs, a leading player in the blockchain and cryptocurrency space, and Archax, UK’s first FCA-regulated digital securities exchange are deepening their collaboration. According to the announcement, the collaboration aims to introduce hundreds of millions of dollars in tokenized real-world assets (RWAs) to the XRP Ledger (XRPL) over the coming year. 

Ripple Joins the Tokenization Push

Notably, this strategic move aims to cement XRPL’s position as a premier blockchain for RWA tokenization. Meanwhile, the expanded partnership leverages the strengths of Ripple and Archax. 

Ripple Labs, known for its innovative blockchain technology and digital payment solutions, provides a robust and scalable platform through the XRPL. Archax, a leading digital securities exchange, brings its expertise in financial market infrastructure and regulatory compliance. Together, they are poised to revolutionize the way RWAs are managed and traded.

Furthermore, the integration of tokenized RWAs on the XRPL is expected to unlock substantial opportunities for various market participants. Investors can diversify their portfolios with digital representations of tangible assets, while issuers can reach a broader audience and raise capital more efficiently. Additionally, the transparency and immutability of blockchain technology ensure that all transactions are securely recorded and easily auditable.

As the project unfolds, the financial industry will closely watch the developments, anticipating the ripple effects on asset management and trading practices. 

Ripple and HashKey Team Up to Supercharge XRPL Solutions

In April, Ripple Labs announced it has joined forces to make XRPL-powered solutions more efficient in Japan via a recent partnership. The American blockchain payment firm associated with XRP is joining forces with HashKey DX, the Tokyo-based division of the digital asset financial services company HashKey to bring XRP Ledger-powered solutions to the Japanese market.

By harnessing the power of the XRPL, these solutions have their sights set on tokenizing and swapping crypto-native and real-world assets. This is an incredible way to bring together the digital and physical worlds.

More Achievements on XRPL

It is worth noting that several progress and achievements have followed the introduction of Non-Fungible Tokens (NFTs) to XRPL. Early this year, XRP Healthcare, a pioneering Pharma and healthcare platform on the XRP Ledger became a validator on XRPL. As a validator on the XRPL, XRP Healthcare now plays a crucial role in validating transactions and securing the network.

In an XRPL Q2 2023 report, Messari highlighted total NFT transactions as one of the few network activity metrics showing significant growth every quarter. Similarly, Ducati, an Italian motorbike manufacturer based in Bologna, Italy, announced its first-ever NFT launch in collaboration with XRPL to establish itself in the Web 3.0 space.

The post Ripple and Archax Partners In Major Tokenization Move appeared first on Latest News and Insights on Blockchain, Cryptocurrency, and Investing.

According to Odaily, US Securities and Exchange Commission (SEC) Commissioner Mark Uyeda has spoken out in favor of tokenization at a global securities regulatory conference. Uyeda highlighted the advantages of tokenization, stating that it could provide a higher level of security, transparency, and immutability for transactions. Furthermore, he noted that tokenization could eliminate the need for most intermediary institutions, thereby simplifying the process and reducing transaction costs. This information was revealed by FOX Business reporter Eleanor Terrett. Tokenization, as advocated by Uyeda, could potentially revolutionize the way transactions are conducted, offering a more streamlined and cost-effective approach.

As reported on June 12, stablecoin issuer Paxos downsized its workforce by 20% despite robust finances and optimistic growth projections in the stablecoin market.

In an email that notified employees of the change, Paxos CEO Charles Cascarilla said the staff reduction will allow the company to “best execute on the massive opportunity ahead in tokenization and stablecoins.”

According to a report, Cascarilla predicted that:

“Stablecoins will increase 10x in the coming years and serve as the fulcrum for opening the financial system through tokenization.“

Staff Cut

The email added that the firm is “in a very strong financial position to succeed,” with more than $500 million on its balance sheet. However, it has decided to focus on its core offerings while “de-prioritizing adjacencies.”

Bloomberg’s source said Paxos intends to reduce its commodities and securities settlement services. Meanwhile, a source told the Block that the “adjacencies” are new products it once considered interesting.

The staff cut eliminates 65 employees, placing Paxos’ headcount between 200 and 300. Paxos has provided a severance package to employees, including workers with approved parental or medical leave.

Paxos Operates Numerous Products

Paxos offers various stablecoin products, including Pax Dollar (USDP), which has a $135.9 million market cap, and Pax Gold (PAXG), which has a $429.8 million market cap.

The company is also responsible for PayPal USD (PYUSD), which has a market cap of $398.8 million. Paxos extended PYUSD’s availability to the Solana blockchain in May.

Paxos International, the company’s UAE-based affiliate, announced the launch of a yield-bearing stablecoin called Lift Dollar (USDL) on June 5.

The company continues to redeem and convert Binance USD (BUSD) after halting the stablecoin’s issuance in February 2023 following Binance’s decision to end support for the stablecoin. 

BUSD continues to circulate even though issuance has ended, with a market cap of $70.5 million.

A staggering 86% of Fortune 500 executives believe tokenization could be valuable for their companies — and The State of Crypto report says they’re bullish on stablecoins too.

Table of Contents

Tokenization in action

The power of stablecoins

Challenges that lie ahead

Coinbase’s latest The State of Crypto report has landed — and as ever, it makes for interesting reading.

The exchange’s research struck a bullish tone, and noted that ETFs based on Bitcoin’s spot price in the U.S. have mopped up “significant pent-up demand” by allowing investors to gain exposure to the world’s biggest cryptocurrency. Assets under management in these funds now stands at $63 billion, with Coinbase anticipating a healthy appetite for Ether ETFs should they be given the green light by the U.S. Securities and Exchange Commission.

Beyond this, it wasn’t the buoyant recovery in the crypto markets that was the focus of Coinbase’s report, but the high levels of enthusiasm for on-chain projects seen among some of America’s biggest businesses.

Data suggests that the number of on-chain projects among Fortune 100 companies has accelerated by 39% over the past 12 months. What’s more, 56% of executives in Fortune 500 firms now say they’re starting to experiment and build using this technology — with “consumer-facing payments applications” a pressing priority for some. They’re not afraid to splash some cash too, with the typical on-chain project boasting a budget of $9.5 million.

Source: Coinbase

According to Coinbase, there is a diverse range of benefits to stablecoins and tokenization that entrepreneurs find appealing.

When it comes to digital assets pegged to the U.S. dollar, the prospect of instantaneous settlements came out top as the biggest advantage identified by Fortune 500 executives. There’s also optimism that accepting stablecoins as a payment method could help drive down fees for merchants with razor-thin profit margins — but given the scalability concerns known to plague major blockchains, this isn’t always a given. Slicker transfers within a business, as well as immediate cross-border payments, also made the list.

The report also underlines how the tokenization of real-world assets has the potential to transform the global economy in the years to come. Here, top benefits and use cases that fascinate top execs include reduced transaction times, operational efficiencies, greater transparency, streamlined regulatory processes, and the ability to drag loyalty programs into the 21st century — enhancing engagement among target audiences. Coinbase cited figures that suggest the value of tokenized assets could hit $16 trillion by the start of the next decade. Illustrating how significant this is, the exchange pointed out that this is equivalent to the European Union’s GDP.

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Tokenization in action

To borrow an oft-used crypto phrase here, “we’re still early” when it comes to seeing how the push for tokenization will play out. Many potential use cases haven’t emerged yet. But one company that has huge ambitions here is Mastercard.

Earlier this week, the payments giant revealed that it’s working to dramatically modernize the world of e-commerce — and ultimately make the need to type in long credit card numbers when buying something online a thing of the past.

This is about much more than saving shoppers a little bit of time at the checkout, as this approach could prove to be a silver bullet in tackling fraud. Artificial intelligence and growing demand for e-commerce in emerging markets have seen the value of false and illegal transactions taking place online surge. Mastercard cited figures from Juniper Research that indicate merchants around the world will lose $362 billion between 2023 and 2028.

In practice, Mastercard wants to make the 16 digits on payment cards obsolete by replacing them with a secure token. The company believes tokenization also has the potential to transform smartphones and cars into “commerce devices” — building upon the great progress that’s been made with contactless payments.

As part of the company’s plans, e-commerce will be 100% tokenized in Europe by 2030 — with Mastercard’s executive vice president Valerie Nowak describing this as a “win-win-win for shoppers, retailers and card issuers alike.”

“In Europe we have seen tokenization gaining momentum across the ecosystem, the convenience and reduced rates of fraud sell themselves.”

Valerie Nowak

Returning to Coinbase and its report noted that on-chain government securities have emerged as an especially popular use case — with the value of tokenized U.S. Treasury products now hitting $1.29 billion, a 1,000% increase since the start of last year.

Franklin Templeton, which was highlighted in The State of Crypto as a case study because of its tokenized money market funds, has described its embrace of this technology as a necessity.

“The market infrastructure on which we have been issuing, trading, and wrapping assets into portfolios is 50 years old … What we are starting to see with blockchain technologies is that there are ways to improve that tremendously. There are ways to cut processing times, get more real-time information, and enable 24/7/365 trading because we live in a global world where our businesses operate around the clock.”

Sandy Kaull, Franklin Templeton’s head of digital assets

Overall, the report indicates that 86% of Fortune 500 executives believe tokenization could be valuable for their operations — a substantial figure.

The power of stablecoins

Elsewhere, Coinbase reflected on how stablecoins are gradually starting to play a larger and larger role in the global economy — with daily stablecoin transfer volumes smashing records and hitting $150 billion in the first quarter of this year. Of course, this exchange has skin in the game given how it has a stake in Circle, which issues USD Coin. 

The report’s authors pointed to how the companies behind USDC and USDT now hold huge amounts of U.S. Treasury bills in reserve — equivalent to Norway, Saudi Arabia and South Korea combined.

This has also coincided with concerted efforts to simplify the process of using stablecoins, which is especially important for consumers who are unfamiliar with digital assets.

“Via Circle, merchants on Stripe can now accept payment in USDC via Ethereum, Solana, and Polygon — with payments automatically converting into fiat currency. PayPal is supporting cross-border transfers for stablecoin users across about 160 countries — with no transaction fees.”

Coinbase

Remittances — which see foreign workers send funds back home to their loved ones — are a particular area where stablecoins could offer a faster and fairer service.

As Coinbase notes, this is a $860 billion market. But right now, cross-border payments made through traditional channels often incur fees of up to 6.39%. Put another way, this means hard-working consumers, their families, and local economies are missing out on as much as $55 billion every year.

There was another fascinating use case in the form of a Washington DC chain called Compass Coffee. With many of their customers shifting from cash to cards, the company said it was fed up with paying high transaction fees — funds that could be reinvested in the business. It’s now started to offer stablecoins as an alternative payment method.

“Accepting crypto payments could be transformational for our business. We hope to help transform retail experiences by accepting USDC.”

Michael Haft, Compass Coffee founder

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Challenges that lie ahead

While there is a lot to be optimistic about, and plenty of traction in the crypto industry, Coinbase warned there are external factors holding progress back.

“Increased activity increases the urgency for clear rules for crypto that help keep crypto developers and other talent in the U.S., fulfill its promise of better access, and enable U.S. leadership on crypto globally.”

Coinbase

Illustrating the impact of regulatory paralysis that has seen several companies move offshore, the exchange warned that America’s share of crypto developers has plunged by 14 percentage points since 2019 — meaning just 26% are now based in the U.S.

Interestingly, 55% of Fortune 500 executives polled said that a lack of trusted talent with the right skillset was the biggest barrier that stood in the way of them rolling out an on-chain project, compared with 30% in 2023. This hurdle then has a knock-on effect in other ways. For example, 40% surveyed admitted that they don’t fully understand how this technology works — and a further 23% wouldn’t know how to start developing their idea.

Source: Coinbase

With crypto-literate legislation starting to work its way through Congress, and the SEC softening its stance toward Bitcoin and Ether ETFs, it’s telling that just 34% of entrepreneurs now cite regulation as a barrier — down 12 percentage points on the year before.

We’ve already seen how digital assets are becoming a hotly contested issue in the upcoming presidential election, with Donald Trump — who once spoke of his disdain for Bitcoin because of how it competes with the dollar — now declaring that he’d like every single one of the remaining 1.3 million BTC to be mined in the U.S. Reports suggest that even Joe Biden is now weighing up whether to accept crypto donations from supporters.

For its part, Coinbase has also been stepping up its efforts to advocate for the industry — and giving its customers the resources they need to make their voices heard.

After a turbulent few years, there are only three words to describe the state of crypto right now: an impressive turnaround.

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RWA focused Layer-1 project, LTO Network have announced a partnership with DWF Labs, the new generation market maker and investment firm to bring DWF Labs’s innovative market making solutions to enhance LTO Network’s capabilities.

This partnership will enhance LTO Network’s liquidity and open further business cooperation between the two companies.

LTO Network sees DWF Labs’s involvement playing a pivotal role in their network’s operations as they further expand with their much anticipated RWA and tokenization ecosystem. The extensive experience of DWF Labs will support LTO Network in offering increased token access through additional exchanges, creating additional value for the token through further partnerships and utilization of the network, especially in Asia.

Andrei Grachev, Managing Partner of DWF Labs, said: “LTO Network and their unique blockchain capabilities caught our attention and we are excited to stand side by side as a partner to see them take charge in one of the most exciting and rapidly growing sectors of the crypto world, RWAs. There are a number of regions which will be very receptive to what LTO is doing and we will work together to ensure these goals are mutually achieved.”

The two companies are set to take immediate steps for working together, with collateral provided by LTO Network to the DWF Labs team for the immediate engagement of their market making services.

“DWF Labs is one of the most prominent businesses in the Crypto space over the last 2 years and their expertise and support will help us realize our vision and goals to be the leading RWA focused Layer-1 blockchain.” said Rick Schmitz, CEO of LTO Network

About LTO Network

LTO Network is a privacy-aware Layer-1 blockchain for Real World Assets, Data Security and Identity Solutions.

The platform is designed for business process efficiency and security. It combines a public layer for transparency and a private layer for data security, ensuring GDPR and MiCA compliance.

This dual-layer approach makes it ideal for enterprises requiring data privacy and regulatory adherence.

LTO Network also offers tokenization of RWAs through their Ownables technology, enabling assets to be brought on-chain and allowing them to interact with the world of DeFi and Web3.

LTO Network's KYC services help maintain compliance with anti-money laundering laws as well as offering proof of humanity services to protect Web3 and DeFi platforms from bots.

About DWF Labs

DWF Labs is the new generation Web3 investor and market maker, one of the world's largest high-frequency cryptocurrency trading entities, which trades spot and derivatives markets on over 60 top exchanges.

Stay up-to-date with LTO Network - X | Ownables Discord | Telegram | Reddit | YouTube | Facebook | Instagram | LinkedIn | GitHub | .

Ripple and Archax are now deepening their cooperation to allow several hundred million dollars of real-world assets (RWAs) to be tokenized and listed on the XRPL in the coming year. This action is expected to position XRPL as the blockchain of choice for onboarding traditional assets into the digital world.

Just announced at #XRPLApex! 1/ Ripple & @ArchaxEx are expanding their partnership to bring hundreds of millions of dollars in tokenized real-world assets (RWAs) to the XRP Ledger over the next year. This move solidifies the #XRPL as a leading blockchain for RWA tokenization.⬇️

— Ripple (@Ripple) June 13, 2024

Archax Teams Up with Financial Institutions for Asset Tokenization on XRPL

Archax collaborates with leading financial institutions, where its goal is to convert their assets into tokens. With this relationship, these institutions are now free to use the XRPL for their tokenization service.

Ripple and Archax started their collaboration in 2022 when Archax provided digital asset custody services with Metaco. This brought the two even closer, with Ripple now acquiring Metaco altogether under its belt in 2023.

According to Markus Infanger, SVP, RippleX, the firm has been working with other similar businesses across the industry. However, this partnership is a “big step” towards a true financial market application on blockchain. Archax is leading the way and he is eager to see how they drive blockchain adoption in financial institutions.

XRPL and Archax Partnership Emphasizes Regulatory Standards in Blockchain

Both Archax and Ripple place an emphasis on working with regulators to ensure they are compliant and meet regulatory standards. Being the only FCA-regulated digital securities exchange, Archax is fully positioned to avail its customers the advantages of decentralized finance (DeFi) via tokenization, enhanced through XRPL capabilities.

This partnership has been announced at the XRP Ledger APEX 2024 summit which held between 11-13 June in Amsterdam. It represents one of the most promising partnerships of the blockchain and financial sector.

Stablecoin issuing company Paxos has laid off 20% of its workforce, decreasing its employee count by 65 individuals, Bloomberg reported Thursday, citing an internal email.

According to the report, Paxos’ chief executive officer and co-founder Charles Cascarilla said the reduction in headcount would allow the company to capitalize on future opportunities in the tokenization and stablecoin sectors. Paxos intends to phase out some of its services to focus on tokenization and stablecoins.

Paxos Sacks 65 Employees

The stablecoin issuer offered the affected individuals three months of subsidized health insurance and outplacement support, 13 weeks of severance pay, and a two-year extension to exercise vested options. In addition to the separation offer, employees on a quarterly incentive program will receive second-quarter bonuses, while people with approved parental or medical leave will receive certain payments and benefits.

Due to the job cuts, Paxos’ headcount now hovers between 200 and 300.

Interestingly, Cascarilla said Paxos is in a solid financial position, with more than $500 million on its balance sheet. This raises the question as to why the company’s headcount was reduced.

“This is a tough day. I take responsibility for this decision and regret having to take this course…We communicated this news to all 65 impacted team members directly. This allows us to best execute on the massive opportunity ahead in tokenization and stablecoins. With more than $500 million on the balance sheet, we are in a very strong financial position to succeed,” Cascarilla stated.

Paxos Unveils Yield-Bearing Stablecoin

Paxos’ employee layoffs come a week after crypto payments infrastructure company MoonPay let go of 10% of its workers due to overinvestments resulting in below-expected operating margins and a high-cost structure. The firm said the role eliminations and relocations would improve its cost structure and strengthen its foundation.

Like Paxos, MoonPay said it is in a financially strong position with positive cash flow and years of runway ahead. The affected employees will also receive separation packages and continue to have an opportunity to be MoonPay shareholders.

Meanwhile, Paxos’ United Arab Emirates arm recently launched a new yield-bearing stablecoin, the Lift Dollar (USDL). USDL is designed to pay daily the yield generated from its reserves to eligible wallet addresses.

The post Paxos Reportedly Downsizes Workforce by 20%: Details appeared first on CryptoPotato.

Paxos has laid off 65 people as it increases its focus on tokenization.

CEO Charles Cascarilla wrote in a company email that the firm is in a "very strong financial position to succeed.”

Digital assets company Paxos has laid off 65 people, or 20% of its staff, according to a report from Bloomberg.

In an all-hands email obtained by Bloomberg, its CEO Charles Cascarilla said that the layoffs “allows us to best execute on the massive opportunity ahead in tokenization and stablecoin" and the company is in a "very strong financial position to succeed"

Paxos has a balance sheet of around $500 million, according to disclosures from its various stablecoins.

However, the company took a hit last year when the New York Department of Financial Services forced it to stop minting Binance's BUSD in early 2023, which had a market cap of $16 billion at its peak.

In August 2023, PayPal announced that Paxos was its partner in launching a PayPal-branded stablecoin.

Paxos intends to gradually discontinue its settlement services in commodities and securities. Instead, it will concentrate more on asset tokenization and stablecoins, Bloomberg reported.

The news of the staff reduction by Paxos, a major company in the crypto and blockchain sector, has sparked great interest in the financial landscape. 

According to a recent report by Bloomberg, Paxos has laid off 20% of its staff, equivalent to 65 employees, in an operation that reflects a strategic shift towards a greater focus on tokenization.

The story of the layoffs at the crypto company Paxos 

Tokenization is the process of transforming physical and financial assets into digital tokens that can be managed on a blockchain. 

This approach has the potential to revolutionize the financial markets, making trading and asset management easier and more secure.

Paxos has decided to focus its resources and efforts on this emerging technology, recognizing its strategic importance for the future of the company and the entire sector.

In a company email sent to employees, CEO Charles Cascarilla reassured the staff about Paxos’ financial solidity. “The company is in a very strong financial position to succeed,” wrote Cascarilla, emphasizing that the decision to reduce personnel was made with the goal of optimizing operations and focusing efforts on areas with the greatest growth potential.

The decision of Paxos to lay off a significant part of its staff while intensifying the focus on tokenization reflects a broader trend in the crypto sector.

Many companies are revising their strategies to adapt to a rapidly evolving environment, where technological innovation is essential to remain competitive. Tokenization, in particular, is seen as one of the most promising areas, with the ability to improve the efficiency, transparency, and security of financial markets.

The strategic vision of Paxos

Paxos is not new to tokenization. The company has already launched several innovative products, including stablecoins such as Paxos Standard (PAX) and tokens based on real assets such as PAX Gold (PAXG). 

These products represent concrete examples of how tokenization can be applied to create new financial instruments that combine the stability of traditional assets with the flexibility and efficiency of tecnologia blockchain.

Despite the potential of tokenization, the transition is not without challenges. Regulation is one of the main concerns for companies operating in this sector.

The regulations vary significantly from one country to another and can significantly influence the adoption and growth of blockchain-based technologies.

Paxos, however, has demonstrated the ability to navigate this complex regulatory landscape, obtaining licenses and approvals in various jurisdictions.

The reduction of staff by Paxos was met with a variety of reactions in the market. 

While some see the move as a sign of difficulty, others interpret it as a necessary strategic decision to focus on high-potential opportunities. 

The ability of Paxos to maintain a solid financial position despite the cuts is seen as a positive indicator of the resilience and the ability of the company to adapt and thrive in a dynamic market.

Conclusions

The decision of Paxos to cut 20% of the staff and increase the focus on tokenization represents a crucial moment for the company. 

While the transition to new technologies and business models can be complex and challenging, Paxos seems well-positioned to tackle these challenges. 

With a solid financial foundation and a clear strategic vision, the company could emerge as one of the leaders in the field of tokenization, contributing to shaping the future of global financial markets.

Ultimately, the move by Paxos reflects the ongoing evolution of the cryptocurrency and blockchain sector, where innovation and the ability to adapt are essential for long-term success.