Introduction To Trusted Smart Chain
TSC white paper
TSC is a purpose-driven blockchain designed to address challenges in digital asset markets, where assets often face high volatility due to speculative dynamics. By facilitating the tokenization of real-world assets (RWAs), TSC establishes a framework for representing tangible assets on the blockchain, creating opportunities for broader utility and accessibility. With high transaction throughput, low fees, and secure smart contract execution, TSC provides a reliable and scalable infrastructure tailored to the tokenization of RWAs. This approach advances the use of blockchain technology in fostering decentralized ecosystems where digital assets are more connected to real-world applications.
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RWA Tokenization Explained:
Why It Matters and TSC’s Essential Role
The financial world is undergoing a significant transformation, driven by blockchain technology. One of the key advancements in this shift is the tokenization of Real-World Assets (RWAs). By digitizing assets such as real estate, commodities, and more, blockchain enhances financial systems by improving efficiency, security, and transparency.
Real-World Assets (RWAs) are tangible and intangible assets that exist in the physical world, including real estate, commodities, bonds, and other valuable resources. Tokenization makes these assets more accessible to a broader audience, facilitating increased participation and innovation in decentralized financial ecosystems
These assets are traditionally managed through centralized financial systems that often restrict liquidity, limit access, and impose high barriers to entry. Tokenization provides a way to digitally represent these assets, enabling them to be more accessible and facilitating their transfer within decentralized blockchain ecosystems.
A Brief History of RWAs
1990
2009
2014
Tokenizing Real-World Assets (RWAs)
Tokenization involves representing ownership rights of real-world assets as digital tokens on a blockchain, bridging traditional assets with decentralized digital ecosystems. This process introduces several potential benefits:
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Enhanced Liquidity
Assets that were previously illiquid—like real estate or fine art—may become more accessible for transfer through tokenized representations.
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Transparency
Blockchain’s immutable ledger provides greater accountability by recording every transaction in a publicly verifiable manner, reducing the risk of fraud.
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Access and Fractional Participation
Tokenization allows participants to engage with fractions of high-value assets, expanding accessibility and broadening participation opportunities.
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Global Accessibility
Tokenized assets can potentially facilitate broader participation across borders, depending on platform capabilities and compliance with local regulations.
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Efficiency
By reducing reliance on intermediaries, blockchain has the potential to streamline processes and lower costs in asset transfers.
The Market Potential for RWA Tokenization
The tokenized asset market is experiencing significant growth. According to Binance Research, Real-World Assets (RWAs) accounted for approximately $1.3 billion in Total Value Locked (TVL) as of September 2023. Additionally, consulting firm Boston Consulting Group projects that tokenized assets could grow to represent a $16 trillion market by 2030.
The Future of
RWA Tokenization
The tokenization of Real-World Assets (RWAs) has the potential to transform the way financial assets are managed and accessed. As decentralized finance (DeFi) evolves and regulations around tokenized assets become more defined, interest in RWA tokenization is expected to increase. TSC, with its emphasis on security, scalability, and compliance, aims to support this transformation by providing a reliable infrastructure for tokenizing assets such as real estate, fine art, and bonds.
This evolution could create new opportunities for integrating traditional assets with blockchain technology, fostering a more inclusive financial ecosystem. Tokenized RWAs may become an essential component of a decentralized financial system, where traditional and digital assets coexist and complement one another.
FAQ
What Determines TSC Token Value?
What Types of RWA Assets Will Be Pegged as L2 Projects on TSC?
Will TSC Be Listed on Exchanges?
What Utility Does TSC Serve?
Why Is TSC the Preferred Blockchain for RWAs?
Transparency and Efficiency: TSC provides a transparent blockchain with low and predictable gas fees, facilitating the tokenization of Real-World Assets (RWAs). It helps reduce transaction costs, maintain immutable records, and support the secure and efficient transfer of tokenized assets. Compliance and Security: TSC is designed to support the tokenization of RWAs in a manner that aligns with regulatory standards. By prioritizing security and compliance, TSC offers a robust infrastructure that helps ensure tokenized assets meet the necessary legal and operational requirements.
Is There an ICO for TSC, and How Are Tokens Minted?
There will be no Initial Coin Offering (ICO) for TSC. Tokens are minted with each additional block and distributed once per day. Nodes that actively participate in maintaining the network may earn newly minted TSC as rewards for their contributions, regardless of the number of blocks they validate.
What Is the Relationship Between T7X and TSC?
The founder of T7X also established and launched the Trusted Smart Chain (TSC) blockchain. TSC was developed to support regulatory compliance for Real-World Asset (RWA) trading across multiple platforms. As a decentralized community-driven blockchain, TSC operates independently, with its development and governance guided by its node owner community. While T7X leverages TSC for its operations, decisions regarding the blockchain’s development and listings are made collectively by the TSC community.