Incore Bank, in partnership with Inacta and Crypto Finance
Group, has selected Tezos as their preferred blockchain platform to
develop regulatory-compliant digital financial products via a newly
developed token standard titled DAR-1.
Tezos to Enable Smart Contracts for European Banks
Business-to-business transaction bank Incore Bank, in collaboration with Inacta and Crypto Finance Group, has picked Tezos,
an open-source proof-of-stake (PoS) blockchain network, to power smart
contracts for a range of on-chain digital financial products and use
cases.
Together with Tezos, these entities have launched a new standard for
tokens called DAR-1, allowing smart contracts to perform functions
necessary to support finance. These functions include complying with
anti-money laundering regulations, handling governance, and supporting
asset management activities.
Developed by Inacta, an independent IT company focused on software
development and blockchain promotion, DAR-1 is based on Tezos FA2, a
token contract interface for single and multi-token smart contracts.
Together, Incore Bank and Inacta intend to begin issuing assets in the
DAR-1 tokenization standard via the Tezos network later this year.
In addition to launching the DAR-1 token standard, Incore Bank
unveiled a new range of services in conjunction with Crypto Finance
Group, a FINMA-licensed provider of institutional and professional
investor products and services for digital assets. These
regulatory-compliant offerings include institutional-grade storage,
staking, and trading services for Tez (XTZ), the native token of the Tezos blockchain.
With Incore Bank launching staking services for the Tezos network,
financial institutions that use Incore Bank’s services will also be able
to offer staking for their clients’ assets directly via e-banking.
Transforming Traditional Banking
The Tezos platform is seeking to provide the safety and code
correctness necessary to protect assets and other high-value use cases
at the protocol and application layers, making it suitable for
applications in banking.
Compared to other established chains like Ethereum, which is undergoing its ETH
2.0 upgrade, Tezos, alongside Cardano, calls itself a
‘third-generation’ blockchain, known colloquially as Blockchain 3.0.
Unlike Ethereum in its present form, Tezos hopes to provide higher
transaction throughput and mechanisms designed to handle network
congestion.
Tezos relies on its on-chain governance model, which allows upgrades
without disrupting or splitting the existing network in contrast with
Ethereum. For tokenized assets registered on a blockchain, hard forks
pose a significant risk. Hard forks can split chains resulting in
scenarios where tokens supposed to have a fixed supply of circulating
units would continue to exist on both chains, doubling the total number
of tokens.
Still, Ethereum has, to date, been the go-to vehicle for financial
services organizations seeking to test the viability of blockchain in
handling traditional asset issuance. Earlier this year, the European
Investment Bank (EIB), in partnership with Banque de France, issued a
$100 million, 2-year bond registered and settled on the Ethereum
network.
source link : https://news.bitcoin.com/tezos-chosen-by-swiss-banking-and-fintech-operators-to-deliver-on-chain-financial-products/
