Guggenheim Treasury Securities (GTS), a subsidiary of monetary consulting agency Guggenheim Capital, has issued $20 million value of digital industrial paper (DCP) on Ethereum.

DCP obtained a credit standing of P-1 from Moody's.

In keeping with a Sept. 26 assertion, Guggenheim plans to publish the paper by means of a blockchain platform developed by Zeconomy known as AmpFi.Digital, which supplies tokenization providers for accredited traders.

Zeconomy CEO Jacinto Cosenza stated:

“With tens of billions of {dollars} locked in DeFi and company treasuries, we’re excited to associate with GTS to deal with the clear want for extra dependable and safe blockchain options.”

The transfer comes because the market capitalization of the tokenized U.S. Treasury market exceeds $2 billion, with participation from conventional monetary giants corresponding to asset managers BlackRock and Franklin Templeton.

BlackRock’s tokenized fund BUIDL has a market capitalization of over $513 million, whereas Franklin Templeton’s FOBXX closed at $435 million.

Moreover, AmpFi.Digital stated within the announcement that it goals to deal with key challenges in decentralized finance (DeFi) corresponding to poor creditworthiness, excessive charges, and compliance points.

Cosenza added that the approval of crypto alternate traded funds (ETFs) within the US and the numerous development of the tokenization market this yr have highlighted institutional demand for cryptocurrencies.

Ethereum’s bullish growth

Notably, of all tokenized U.S. authorities debt, practically $1.6 billion has been issued utilizing Ethereum because the infrastructure.

Along with BlackRock’s BUIDL, Ondo’s USDY and OUSG, and Hashnote’s USYC will considerably enhance blockchain participation within the tokenized authorities securities ecosystem.

Moreover, CoinDesk reported on September 25 that Visa plans to construct a platform to assist institutional traders difficulty fiat-backed tokens. Ethereum’s infrastructure additionally powers the Visa Tokenized Asset Platform (VTAP).

Solana is a robust candidate

Solana holds simply 5.5% of the tokenized U.S. authorities securities market as of September 26, with $122.7 million in tokens issued on its community.

Nonetheless, Franklin Templeton and Citigroup lately introduced that they’re eyeing Solana as the subsequent monetary product to discover blockchain know-how.

At Breakpoint, an occasion targeted on the Solana ecosystem, Franklin Templeton revealed plans to launch a mutual fund natively in Solana. In the meantime, Citi is contemplating leveraging its community to allow programmability of cash by means of sensible contracts for cross-border funds.

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