Tokeny Solutions and Polygon have partnered, allowing asset issuers to easily tokenize compliant securities in a cost-effective and scalable way. Tokeny Solutions provides technology for securities issuers to tokenize their assets and Polygon is a layer 2 protocol building and connecting Ethereum-compatible blockchain networks.
Ethereum’s smart contract deployment and transaction fees have always been difficult for financial institutions to comprehend. These fees have varied greatly over time, depending on the actions performed and the price of the cryptocurrency (ETH), an asset many institutions are unable to have on their balance sheet.
With the delay of Ethereum 2, the cost has got even higher, closing the door to many projects that wanted to target a large audience of investors, or those that foresaw many management transactions or transfers between token holders.
As a result of the partnership between Tokeny Solutions and Polygon, asset issuers can continue to rely on the security, resilience and ecosystem of Ethereum, whilst reducing gas prices by over 10000 times. Gas fees become so low that they no longer handicap the adoption of security tokens. Alongside this, transaction speeds dramatically improve to under three seconds, greatly facilitating token transfers between investors.
