15th December, Luxembourg – Today represents a significant accomplishment for not only our association but for the wider tokenization ecosystem. We are proud to announce that the ERC3643 standard has reached 'Final' status in its Ethereum Improvement Proposal (EIP). This status solidifies ERC3643 as the first-ever standard tailored for compliant tokenization to earn this approval from the Ethereum community.
For those unfamiliar, the Ethereum Improvement Proposal (EIP) is a vital process in the Ethereum community. It's used for proposing and implementing upgrades, new features, and standards within the Ethereum network, impacting the main net, but also all blockchain networks using the Ethereum Virtual machines. Well-known standards like ERC20 and ERC721 were established through this process, and ERC3643 has now successfully followed suit.
Although the ERC20 standard is widely utilized for crypto tokens, it is not suitable for securities activities due to its inherent limitations in enforcing on-chain compliance. This is where ERC3643 becomes significant for the industry, by enhancing ERC20 tokens with controlled advanced functions and compliance modules.
ERC3643 is the permissioned token standard for tokenization of securities, real-world assets (RWAs), payment systems and loyalty programs. It dynamically verifies users eligibility to a token via a self-sovereign identity (SSI) framework, ensuring compliance through anonymous but verifiable credentials. Furthermore, it empowers token issuers with continuous control over the tokens, thereby facilitating governance and consistent compliance with regulatory requirements.
Receiving this attestation embodies our commitment to providing a competent standard for enterprises to deploy permissioned tokens on any EVM-compatible blockchain in a compliant and efficient manner. This achievement aims to enhance collaboration and interoperability, working in tandem with the vast Ethereum ecosystem.
The ERC3643 standard is set to transform how enterprises interact with blockchain technology, offering a robust and compliant framework for tokenizing assets. Its recognition as an official standard also underscores the Ethereum community's dedication to supporting the diverse needs of its users and setting a benchmark for institutions to leverage this standard for their tokenization initiatives.
This is an incredible milestone and accomplishment that wouldn’t have been possible without the tireless efforts of the association and its esteemed members. It is a stepping stone for what’s to come next for the standard. Learn more about the ERC3643 EIP here.
About ERC3643 Association:
The ERC3643 Association is a non-profit organization regrouping industry leaders within a shared mission to advance the adoption of the ERC3643 standard and promote the development of a standardized, secure, and compliant tokenization framework. The association brings together the expertise and resources of its members to foster collaboration, drive innovation, and create a more inclusive, efficient, and secure financial landscape. By supporting the widespread adoption of the ERC3643 standard, the association aims to unlock the full potential of tokenization and pave the way for a new era of global asset management.
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