VERT Capital and XDC Network to Tokenize $1 Billion in Real-World Assets in Brazil

Brazilian company VERT Capital is doing something big. It plans to turn up to $1 billion worth of real-world assets into digital tokens over the next 30 months. This means that things like business loans, farming contracts, and special credit deals will become digital and easier to trade.

To do this, VERT Capital is using a powerful blockchain called the XDC Network. This blockchain helps move money and data safely and quickly.

The idea is to make it easier for more people to invest in these kinds of assets. Right now, many of these assets are hard to trade or access. Tokenizing them makes everything simpler, faster, and more open.

What is Tokenization?

Tokenization is like turning a real thing into a digital card. 

For example, if you own a farm contract worth $100,000, tokenization lets you create digital tokens that represent small pieces of that contract. 

Each token could be worth $1,000. You can then sell or trade these tokens on the internet.

Read Also: Is Tokenization the Next Bullish Narrative? Analyzing

Why is This Important?

Right now, many valuable things in the world are hard to sell or trade quickly. 

These include private loans, contracts from farming businesses, and other special financial products. If you want to sell them, it can take days or even weeks. Tokenization can make this much faster,  sometimes just seconds.

Also, more people can buy small parts of these assets. 

You don’t need to be a millionaire to invest. This helps bring more people into the financial system.

VERT Capital’s Experience

This is not the first time VERT Capital has worked with blockchain. In the past, it used another blockchain called the XRP Ledger. It turned $130 million of farm-related assets into tokens. So, they already know how to do this work well.

Now, with the XDC Network, they want to do even more. This new plan is much bigger and more powerful. They believe the XDC blockchain is better for handling a lot of transactions. It is fast, cheap, and safe for big companies to use.

What Is the XDC Network?

The XDC Network is a blockchain that is similar to Ethereum, but faster and cheaper. 

It allows businesses to move and store data securely. It also supports tools used by banks and large companies. These tools help make sure everything follows local and international laws. 

The XDC Network has some special features:

• It can finish a transaction in just two seconds.

• The fees are very low.

• It supports smart contracts and is ready for real business use.

• It works well with other banking systems and global finance rules.

Read Also: What Is XDC Network? What You Should Know About $XDC

What Kinds of Assets Will Be Tokenized?

VERT Capital will start by tokenizing assets it already works with. These include:

• Corporate debt (money businesses owe)

• Farming contracts (like deals for selling crops)

• Special credit products (used by banks and large companies)

These will all move to the blockchain using digital tokens. This means the people who own them can trade them more easily, with less paperwork and more safety.

Some of VERT’s clients include big names like:

• Cargill (a global food company)

• Santander (a major bank)

• Raízen (a large energy company)

These clients already use traditional finance tools. Now, VERT wants to bring them into the world of blockchain.

Why Brazil?

Brazil is quickly becoming a leader in tokenization in Latin America. 

Other companies in Brazil, like Mercado Bitcoin, are also turning real-world items into tokens. The government is also interested in using blockchain for banks and payments.

By doing this project in Brazil, VERT is helping the country become more modern and efficient in finance. More people can take part in investing and growing their money.

What Are the Challenges?

Even though tokenization is exciting, there are still some problems to solve:

• Not all laws are clear about how tokenized assets should be handled.

• Many people don’t yet understand how tokenization works.

• There aren’t enough places to trade these new digital tokens.

For tokenization to work well, more people need to learn about it. Also, governments and companies need to work together to make fair rules.

Read Also: USDC Expands in Brazil and Mexico

Conclusion

VERT Capital’s plan to tokenize $1 billion in real-world assets is a big step for Brazil and for the world of finance. By using the XDC Network, they can make old, hard-to-trade financial items into fast, digital tokens.

This move could help more people invest, improve transparency, and lower costs. While challenges still exist, this project shows that the future of finance might be on the blockchain. Stay informed in Bitrue, and don’t invest more than you can afford to lose!

FAQ

What is tokenization?

Tokenization is the process of turning a real asset (like a contract or loan) into digital tokens on a blockchain. These tokens can be traded easily and quickly.

What are real-world assets (RWAs)?

RWAs include things like business loans, farming contracts, and credit products that exist outside of blockchain. Tokenizing them brings them into the digital world.

What is VERT Capital?

VERT Capital is a financial company in Brazil that helps businesses with investments and credit. It is now using blockchain to modernise its services.

What is the XDC Network?

The XDC Network is a fast and secure blockchain that supports smart contracts and enterprise features. It is designed for financial companies and banks.

Why is Brazil important in this story?

Brazil is becoming a regional leader in blockchain use. VERT’s project could help boost the country’s role in digital finance and attract more investors.