Deutsche Bank Participates in the Asset Tokenization Project of Singapore
As per a new article, Deutsche bank has become the latest addition to the asset tokenization project of Singapore. However, prior to joining the project. the platform expressed their cynicism about the transparency of the largest stablecoin project namely Tether.
Deutsche Bank is a multinational investment banking firm operating out of Germany. The financial firm is now collaborating with central bank of Singapore regarding asset tokenization.
Applications of Asset Tokenization
On this front, the bank has been added as a member of Project Guardian operated by the Monetary Authority of Singapore (MAS). The project is mainly focused on asset tokenization directed towards wholesale markets and decentralized applications.
As part of the collaborative efforts, Deutsche bank is working on a test interoperable blockchain platform that will work as open-source.
This platform will support services that are interoperable with other blockchain networks and also enable tokenization for services and digital funding. The bank is also working on developing protocol standards and focusing on an ideal approach as a way to contribute to the development of the local blockchain industry.
Singapore’s Project Guardian
Boo-Hiong Chan, the head of securities and technology at Deutsche bank confirmed that he is going to lead Project Guardian. The bank has proposed working with Memento Blockchain which is a software-based platform that enables decentralized finance and digital asset management services. Deutsche bank and Memento Blockchain collaborated in 2022 and 2023.
The two firms successfully worked on Project DAMA which stands for Digital Assets Management and Access. The same initiative will unlock the true potential of a more efficient, safe, and flexible solution for digital fund managers and investment options.
The new project of Deutsche bank will also lend a hand to DAMA 2. The second version of the project is inclusive of interop Labs.
It is a noteworthy interoperable blockchain operating on multiple blockchain networks at once. The first phase of development is focused towards the Axelar network.
In the same line, important cryptocurrency companies are considering the possibility of working in tandem with the Axelar Foundation as a way to incorporate interoperability into the local blockchain networks. Along the same lines, Ripple announced a collaboration with Axelar network in February 2024.
Axelar Collaborates with Multiple Fintech Projects
The main focus of the partnership with Ripple is to enable real-world asset tokenization of XRP Ledger. This platform has gained interoperable status with the assistance of the Axelar network.
Axelar co-founder and CEO of Interop Labs Sergey Gorbunov spoke with journalists from Cointelegraph and informed the media house that interoperability on a secure blockchain is necessary to unlock trillion-dollar potential of asset tokenization.
Deutsche bank and Project Guardian have consolidated their status as leading innovators in creating an open network that allowed for the legacy tech. The executive further stated that Axelar development is a necessary process for institutional adoption and the firm is looking forward to the collaboration.
The project was started by MAS back in 2022. The project was birthed as a result of rendezvous between Singapore MAS and financial entities.
One of the participants hailed from the United Kingdom that operates as a major regulatory firm namely Financial Conduct Authority. In the same manner, the firm has also collaborated with Swiss regulator Financial Market Supervisory Authority and Financial Services Agency of Japan.
The initiation of Deutsche bank into RWA tokenization project of Singapore took place a few days after the firm announced issuance of a new stablecoin report. The analysts at Deutsche bank have raised concerns associated with the transparency of the stablecoin project Tether.
In retaliation, Tether issued a rebuttal at the firm noting that the report does not provide substantial evidence or solid data to back their claims. USDT is popularly used among cryptocurrency investors as a viable medium of exchange.
