ZUG, Switzerland, — Atomyze tokenization platform, developed using Hyperledger Fabric blockchain technology, launched in test mode. PJSC MMC Norilsk Nickel, the world’s largest producer of palladium and high-grade nickel and a major producer of platinum and copper, will be the first issuer of tokens in the project and the first industrial company to tokenize its assets on the platform.
Atomyze tokenization platform uses distributed ledger technology to represent physical assets in digital form, making trading easier, providing faster transaction time and providing a permissioned view of transactions. Atomyze will help transform traditional ways of how industrial companies are working with their key counterparties.
Major industrial partners of the company will be given access to the platform during the test phase. Among those invited to the test phase are Nornickel’s partners Trafigura, Traxys, and Umicore. Later on, once Atomyze secures all licensing required, its doors will open to other types of issuers, and the platform will go into full commercial operation.
Atomyze services will also give issuers access to financing on efficient terms, introduce them to a new pool of investors, and will also provide issuers with an opportunity to make their operations more efficient, which will allow them to achieve new levels of flexibility in trading with their consumers.
“The main idea of tokenization is not in buying or trading cryptocurrencies; it lies in the creation of a modern and transparent mechanism for digitizing of assets, and in the creation of new digital markets, where tokenization is a service helping issuers transfer rights to their assets into a digital form,” explained Atomyze CEO, Marco Grossi.
Nornickel plans to use the platform’s services to tokenize part of its contractual volumes, thereby providing a new class of product for a broad range of players eager to invest in digital asset markets. The issued tokens will be backed by metal reserves, which will undergo a regular audit. Initially, Nornickel will test tokens backed by palladium, cobalt and copper. In the future, the company intends to tokenize other metals, with plans to gradually switch to digital means of trading. Total anticipated volume of issuance in the first year is expected to be up to 10 percent of overall sales volume of Nornickel’s production.
“The economy is being digitalized, that is to say, the flow of capital is spilling over from the traditional economy to the digital one. Nornickel invests in a variety of digital solutions for industrial applications. The tokenization of payment settlements is one of them. Nornickel will be the first company among the extractive industry leaders to begin trading using tokens. Nornickel is interested in this project because it will enable the Company to popularize palladium and other metals by transitioning to digital trading methods,” noted Vladimir Potanin, President of PJSC “MMC “Norilsk Nickel.”
IBM has played a vital part in the project as a key technology partner helping to develop the platform and helping Atomyze integrate an advanced Byzantine Fault Tolerance (BFT) consensus mechanism into the Hyperledger Fabric blockchain platform. This novel consensus-building mechanism and the participation of a broad range of trusted validators increases the platform’s credibility, makes transactions more transparent for investors, auditors and regulatory bodies, and also creates a foundation for further expansion of the community of issuers.
“The joint efforts among Atomyze, IBM and Nornickel have made it possible to develop a truly powerful and unique industry solution. Asset/commodity trading is only one of many opportunities in our industry where tokenization can transform current business processes,” said Manish Chawla, Global Managing Director, Energy & Natural Resources Industries at IBM. “As the leader in the creation of permissioned and governed private blockchain networks for industry outcomes, we are eager to help advance the idea of a new token-based economy with this project.”
Atomyze deploys the platform in IBM public cloud, to provide highly secure user data, supporting Atomyze’s GDPR and C5 compliance obligations, as well as protection against external and internal threats. The security by design principle was considered from the very first stages of the system’s development. Another feature of the platform to help ensure trust is the mandatory identification of each user for KYC (Know Your Customer), KYB (Know Your Business) and AML (Anti Money Laundering) requirements.
Atomyze by Tokentrust AG is a Swiss based blockchain platform aimed at digitizing and tokenizing the multifaceted commodities industry. Utilizing distributed ledger technology of Hyperledger Fabric, Atomyze will facilitate simple, fast and transparent online trading for professional and institutional participants. Tokentrust AG is in the application process to become a member of a self-regulatory organization (“SRO”) for anti-money laundering purposes and is separately seeking a license as a securities firm (including the operation of an Organized Trading Platform) under Swiss law.
PJSC “MMC NORILSK NICKEL” is a diversified mining and metallurgical company, the world’s largest producer of refined nickel and palladium and a leading producer of platinum, cobalt, copper and rhodium. The company also produces gold, silver, iridium, selenium, ruthenium and tellurium.
The production units of “NORILSK NICKEL” Group are located at the Norilsk Industrial District, on the Kola Peninsula and Chita region in Russia as well as in Finland and South Africa.
PJSC “MMC “NORILSK NICKEL” shares are listed on the Moscow and on the Saint-Petersburg Stock Exchanges. PJSC “MMC “NORILSK NICKEL” ADRs trade over the counter in the US and on the London and Berlin Stock Exchanges.
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