What is asset tokenization?
Debt tokenization is the process of converting the ownership value (and any associated rights) stored in debt assets into digital tokens on the blockchain to enable digital ownership, transfer, and storage.
Transforming private markets with efficiency and transparency
Private markets are where private debt investments such as ownership shares in privately held companies are offered and traded.
Private debt investments require complex, time-consuming, and costly processes involving multiple intermediaries, regulatory hurdles, and high minimums. Debt tokenization on Polymesh lifts these challenges, enabling issuers to benefit from higher liquidity, efficiency, transparency, security, and reduced reliance on third parties.
Boosting liquidity while lowering costs
Private debt thrives on the secondary market, where eligible investors may benefit from liquidity while new investors can become involved through the exchange of existing private debt assets.
Tokenization makes the trading of debt instruments faster with reduced errors, lowering costs in the back office and freeing up funds for redeployment elsewhere.