In the current blockchain ecosystem, compliance and interoperability have become key elements for asset issuance and trading. As part of the Polymesh ecosystem, POLYX tokens focus on the issuance of security tokens and aim to provide financial institutions with a compliant and efficient asset management platform. This article will delve into the characteristics of the POLYX token and its importance in the blockchain world.
Polymesh independence and interoperability
Although Polymesh is an independent blockchain, the advantages of introducing assets from other blockchains into Polymesh are obvious. Through interoperability design, Polymesh can effectively transfer assets with other blockchains, which not only improves the liquidity of assets, but also provides users with more choices.
Introduction of the ERC-1400 standard: On Ethereum, Polymath led the creation of the security token standard (ERC-1400) to meet the consistent needs of financial institutions for asset creation and management. ERC-1400 includes a series of standards, such as:
ERC-1594: Core Security Token Standard
ERC-1643: Document Management Standard
ERC-1644: Controller Token Standard
ERC-2258: Custody Ownership Standard
ERC-1410: Partially fungible token standard
Polymesh follows the ERC-1400 specification for asset modeling and compliance management, which provides a standardized solution for assets and compliance between the Ethereum protocol and Polymesh.
Interoperability through relay chains
Relay chains, like Polkadot, aim to provide a decentralized interoperability layer that allows different networks to communicate and exchange state atomically. This architecture has different trade-offs in security, user experience, and necessary validator monitoring. Currently, Polymesh has no immediate plans to run on relay networks, but its architectural design leaves options open for future considerations.
Support for wrapped assets: Polymesh seamlessly supports various wrapped tokens and other open financial protocols. For assets from other blockchains, they can be transferred to Polymesh through bridging technology. These assets are locked on their original network and then re-minted as wrapped tokens on Polymesh. Users can achieve two-way transfers by burning these wrapped tokens on Polymesh and unlocking them on the original network.
Migrated security tokens
Polymesh provides a streamlined process that enables existing issuers of regulated assets to migrate their assets to Polymesh to take advantage of its unique features and optimizations. For existing properties with many investors, the migration process can be complicated as each investor needs to be migrated individually. To alleviate this problem, Polymesh provides placeholder identities and accounts for existing investors who have not yet migrated to the chain. These placeholders can be claimed trustlessly on Polymesh by investors who wish to interact with the assets they own.
Oracles and market data: Polymesh uses industry standards to define how to quote or retrieve various types of market data. It relies on a federated security model through validators or market data providers acting as trusted oracles. This model not only ensures data accuracy, but also improves the security and reliability of the overall system.
Validator market data
Polymesh integrates major market data providers through a permissioned network. These data providers not only provide real-time data on the market, but also help users make more informed investment decisions. This system was established to provide users of POLYX tokens with comprehensive market insights.
Summarize
As part of the Polymesh ecosystem, the POLYX token brings new possibilities to the financial market with its advantages of compliance and interoperability. With the development of blockchain technology, POLYX tokens will play an increasingly important role in asset management and issuance. Whether through the introduction of the ERC-1400 standard or the flexibility of packaging assets, the POLYX token has demonstrated its potential in the modern financial system.
In the future, Polymesh will continue to explore more innovation opportunities and provide users with safer and more efficient asset management solutions. As the market evolves, POLYX tokens may become an important player in the financial technology field and promote the development of the entire industry.