Public Blockchains Are Now Suitable for Financial Institutions
A blockchain is a network, it is an ecosystem. It is a group of people who agree to safeguard a ledger and validate digital transactions with the same technical consensus. A blockchain is a shared infrastructure that users can access at any time and use on demand.
Launching a new or private blockchain means that you need to start a whole ecosystem from scratch, where all participants must trust the node owners, and the consensus mechanism. Private blockchains are like intranets. Public blockchains are the new internet of value.
We understand that public blockchains can be scary for financial institutions, as they are used to controlling and securing their own infrastructure. But we need to understand, that a blockchain is inherently more secure than any centralized server. This aread can be vague for customers, and that’s probably why many fintech companies tend to hire web3 copywriting services or make engaging videos to educate the customers and communities about cryptocurrencies, NFTs, and metaverses. We launched Tokeny almost 4 years ago, to create a decentralized system where our users can benefit from the best of both worlds:the security and interoperability of public blockchains and the control from private blockchains.
We have made public blockchains suitable for financial institutions:
- Control: if it is decentralized enough, you don’t need to control the nodes of the blockchain, you need to control your token smart contracts. We allow this through the T-REX protocol. Rules are encoded in the tokens and you can perform actions at any moment on the tokens you issued, even if they are not in your wallet.
- Compliance: thanks to ONCHAINID, all your stakeholders are pseudonymously identified on the blockchain. You can therefore encode transfer rules, give permissions, manage authorizations the way you want in order to apply compliance rules.
- Security: with no incident in years, public networks like Ethereum are now recognized as secure and decentralized by the majority of large financial institutions, service providers and regulators.
- Gas fees: public blockchains are on demand, but you need to pay when you use it. For this, you usually need some crypto-tokens in your wallet, and the price per transaction depends on several factors that you cannot control or anticipate. With our Gas Tank feature, you don’t need crypto in your wallet anymore. And, we even pay the gas fees for you on Polygon!
- Privacy: blockchain data is pseudonyms, you can see addresses, but no names. Thanks to our identity system ONCHAINID, you can change your wallets easily without losing your assets, making your identity harder to trace. Mostly, investors want more transparency, they want proof of the total supply, they want to know if there are many movements or not, they want proof they can trust the issuer, especially when you reach a global audience of investors.
We are ready to help you benefit from this new infrastructure enabling digital transfer of value.