Banks using VTAP will be able to purchase tokenized real-world assets (RWAs) such as commodities or bonds. These transactions will benefit from near-real-time settlement facilitated by the fiat-backed tokens.
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VTAP uses fiat-backed tokens to represent real-world assets like bonds and commodities, making them easier to trade and settle on a blockchain platform, with faster and more efficient processes through smart contracts.
Ethereum serves as the blockchain platform on which the fiat-backed tokens will be issued. Through Ethereumβs smart contract functionality, VTAP will enable automated and secure transactions involving tokenized real-world assets.
The first live pilot of VTAP, in collaboration with BBVA, is expected to roll out in 2025.
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