Smart contract development and asset tokenization

Разработка смарт-контрактов и токенизация активов 0222 Digital

The term "tokenization" has been gaining immense popularity lately, especially in the business environment. As a result of the global pandemic and related inflation, confidence in banks and investment funds is falling. Entrepreneurs are beginning to look for solutions to bypass these types of institutions. This opportunity is provided by tokenization, that is, a form of digitization based on blockchain technology.

 

What is business digitalization through tokenization? How to create a token and can it be used as a debt collection tool? We'll start with a brief explanation of tokenization itself.

 

What does "tokenize" mean?

 

Tokenization is possible thanks to blockchain technology. Blockchain is a decentralized database, a technology used to collect data. Because of its nature, blockchain is often referred to as distributed ledger technology. Data is added to the registry according to certain rules, and each record is linked to the previous one. One of the most characteristic features of the blockchain is that the data entered into it is practically immutable and unchanging.

 

Tokenization is a form of converting value into digital resources, one of the largest global trends among proponents of new technologies. Digitalization itself, for example, in the work of accountants, is not something new either in the world or in Ukraine. The use of computer programs in accounting or financial transactions, electronic documents, electronic invoices and electronic signatures or storing documents in the cloud computing is the daily life of many companies, not only in the IT sector.

 

What could a token be?

 

The concept of a token is very broad. In the context of a blockchain, a token can be anything that can be digitally transferred to it. In simple terms, a token is anything that is tracked or processed on the blockchain, although in most cases the term token refers to a native token (like bitcoin for the Bitcoin network) or a digital asset defined by a smart contract.

 

A token can be a digital representation of an asset - a representative of value in the digital world.

 

The token can be:

  • Proof of identity, that is, a digital representation of certain transferable property rights.
  • Digital ownership of things: digital; stationary, for example, real estate; shares, rights to shares.

 

Business digitization through tokenization

 

Why tokenize your business? The transparency, disclosure and reliability provided by blockchain support the transfer of traditional business models to the digital realm. The data stored on the blockchain cannot be manipulated, it is publicly available and reliable.

 

Observing the development of new technologies and their implementation in business reality, we can conclude that the time has come to popularize the blockchain technology and tokens based on it. However, many companies ask more questions about this than they receive answers, which slows down development.

 

Business tokenization is based on the creation of tokens that are closely related to a specific project. The tokenization process, during which the cost of a project is transferred to a token, can be used as a tool to simplify and automate processes in an enterprise or be a method of financing it.

 

Examples of tokenization can be multiplied endlessly. In the Ukrainian IT company 0222 Digital Custom Software Development, Kiev, Odessa, Vinnitsa, you can tokenize all types of assets, including works of art, real estate, ideas, company products.

 

Not just tokenization! In 0222 Digital Custom Software Development Ukraine you can order the creation of smart contracts. Smart contracts are nothing more than contracts expressed in the form of an application. The first step to creating them is to agree on the specific terms of such an agreement between the parties ("if X happens, do Y"). The terms of the contract are then written down - not in traditional form, but in a blockchain-based application.

 

Smart contracts can be used in many areas, for example:

 

  • combating counterfeit products or trading in stolen digital goods
  • tax purposes
  • health care
  • payments in e-commerce
  • order automation
  • real estate sector

 

0222 Digital Agency invites you to contact. We will help with tokenization and development of smart contracts for your business.