The number of blockchain networks, projects, and, as a result, tokens, makes many people’s heads spin. And recently, financial companies have started to add their own blockchains to the mix. For example, the issuing company of the USDC stablecoin Circle has decided to create its own blockchain called Arc. And the payment giant Stripe accidentally disclosed information about a blockchain called Tempo, created in collaboration with Paradigm. In addition, startups Plasma and Stable have recently raised funds to develop specialized chains for USDT, the largest stablecoin on the crypto market with a capitalization of $160 billion.
Securitize is developing Converge with Ethena, Ondo Finance has announced its upcoming internal chain, and a few days ago, Dinari will launch a first-tier network based on Avalanche for settling tokenized shares.
Stablecoins and tokenization of real-world assets have become popular segments of the crypto economy. Analysts predict that they will grow into asset classes worth trillions of dollars in the near future. Stablecoins will offer fast and cheap cross-border payments, while tokenization allows traditional instruments such as bonds, funds, and stocks to be traded around the clock with faster blockchain-based settlement.
The vast majority of all tokens live and are settled on public blockchains such as Ethereum, Solana, or Tron. These networks give issuers global reach and liquidity, but they also carry certain limitations for asset issuers. Creating your own blockchain will give companies total control and strategic positioning.
The economics of stablecoins are shaped by settlement speed, interoperability, and regulatory harmonization, making it easier for financial firms to comply.
Custom chains allow companies to issue their own tokens for fee payments, control transaction costs, and keep network performance isolated from the activities (and potential problems) of public blockchains. In addition, proprietary blockchains provide an opportunity to implement know-your-customer (KYC) verification.
Source: CoinDesk
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