Tokenizing real-world assets (RWA) is taking the investment space by positioning traditional assets on the blockchain rails. Joining the traditional assets onto the blockchain rails are diamonds coinciding with the pacy entry of global financial giants into tokenization.
Diamonds became the latest conventional asset to realize the red-hot tokenization treatment within the crypto industry. The entry became a reality with the Diamond Standard Fund backing a security token listed on the Oasis Pro Markets. Harnessing the power of Quantum Asset AI is poised to revolutionize the market. By integrating cutting-edge technology, this AI-driven solution optimizes strategies and executes trades with precision, mirroring the innovative spirit seen in the blockchain’s embrace of tokenized diamonds.
The Oasis Pro Markets platform is regulated, making the security token eligible for institutional investors’ consideration, including endowments and pension funds. Diamond’s chief executive hailed the tokenization as it avails the $1.2 trillion natural resource through a convenient yet tradable fund.
Diamond Joins Tokenized RWA via Avalanche C-Chain
Diamond’s entry into the tokenized RWA category makes the precious stones accessible on the blockchain rails for trade by investors. The milestone was made possible through the crypto securities trading protocol Oasis Pro, which created the token to run on the Avalanche C-Chain.
The Wednesday, March 27 press release confirmed that the token will represent the stake one holds within the Diamond Standard Fund. The product features sponsorship of the Horizon Kinetics and Diamond Standard Commodities.
Diamond Stand chief executive Cormac Kinney hailed the achievement as historically facilitated by Oasis Pro to make the $1.2 trillion resource accessible to investors conveniently. As a tradable fund, Diamond joins gold, bonds, and credit on the blockchains as a token via the real-work asset (RWA) tokenization. Tokenization is gaining popularity with traditional finance giants, including HSBC, Franklin Templeton, and JPMorgan, completing pilot projects and services on blockchains.
Diamond is replicating the footsteps of Wall Street giant BlackRock, which recently unveiled a tokenized fund represented by BUIDL token on the Ethereum blockchain. The Lary Fink-led has its tokenized fund backed by repurchase agreements and US Treasuries.
Diamond Benchmarks DIAMINDX Following Tokenization on Avalanche
Kinney revealed that Diamond Standard Fund taps Bloomberg’s Diamond Standard Index (DIAMINDX) for benchmarking. The security token utilizes a unique structure, making it accessible to retirement accounts (IRAs), pension funds, and endowments.
The diamond token embraces the ERC-3643 standard while deploying the open-source suit for smart contracts. Ava Labs, the developers of Avalanche ecosystem, indicated that doing so is set to facilitate issuance, transfer and management of the permissioned tokens customized for the tokenized assets.
Ava Labs president John Wu hailed the tokenization of diamonds as offering exposure via a fund structure on the Avalanche, evidence of blockchain technology capacity. He added that tokenization yields transparency and efficiency to the asset class previously labeled opaque and inaccessible to institutional investors.
