Overview and Benefits
An evolution in Ethereum token standards
The Universal Token is a unique Ethereum standard designed to power a much wider range of use cases than existing token standards. It supports both centralized and decentralized finance use cases, and is able to represent any asset or payment instrument on the Ethereum blockchain. It is compatible with popular Ethereum standards including fungible, non-fungible, and hybrid tokens standards.
Institutions can retain full control of the assets they issue. This is essential in order to keep track of token holder identities, to prevent blocklisted actors from accessing certain assets, and to ensure transfers are always compliant.
In the future, should institutions choose to interact with DeFi protocols, they will be able to either remove or decentralize token controls and benefit from the composability of DeFi networks.
Use case versatility
Enterprises and developers are empowered to issue any type of asset or payment instrument on the Ethereum blockchain, be it a DeFi derivative, loan or mortgage, a retail or wholesale CBDC, an invoice or warehouse receipt, any type of financial instrument, or even collectible, or gaming asset.
Modular architecture to fit diverse use cases
Each of the below token features can be activated or deactivated according to the requirements of a use case, life cycle stage, or evolving regulation.
Adapted control mechanisms
Issuers are given the capability to check certificates, allowlists, and to force token transfers, creation, or destruction—in line with traditional finance requirements for issuers to control asset distribution.
Certainty of execution for DvP
Allow delivery-vs-payment without middlemen, and with certainty of execution. Universal token holders may authorize ‘holds’ that allow a 3rd party to transfer tokens on their behalf. Once authorized, the hold retains the committed tokens in the token holder’s wallet, while prohibiting them from being spent elsewhere.
Reliable investor registry
The Universal Token’s ‘hold’ feature serves as an alternative to escrows. It uses certificates and smart contract partitions to reflect the real owner of an asset on the investor registry at all times.
Ethereum ecosystem interoperability
Comply with traditional finance regulations while retaining compatibility with Ethereum token standards, DeFi tools, and applications on an ERC20 interface.
RESOURCES AND INSIGHTS
Learn more about the Universal Token for Assets and Payments
The Universal Token for Assets and Payments Webinar
Learn about a unique Ethereum standard for both centralized and decentralized finance use cases.
Introducing the Universal Token for Assets and PaymentsConsenSys Codefi Launches the Universal Token for Assets and Payments
The Features and Benefits of the Universal TokenWhen the Codefi team started developing the Universal Token for Assets and Payments, we knew that the future of finance would sit at the intersection of traditional finance and decentralized finance. Our ambition was to find a way to create a bridge between both worlds.
Use Cases for the Universal TokenLearn how to achieve real-time continuous asset financing with the Universal Token for Assets and Payments