Red Matter is a regulated platform for issuing and trading in multi-class, asset backed digital securities, utilizing Blockchain smart contracts to execute and settle transactions without the need for back-office, legacy systems.
Red Matter enables investors to easily trade in public (US Equities, Bonds, ETFs, Commodities) and private securities (a company’s shares, account receivables, property, contracts) as tokenized assets held under custody.
A white label version of the platform is made available to asset managers, broker-dealers and fin-tech companies in the web3 space to list and sell public and private securities under their own brand, utilizing Red Matter’s regulatory license or their own license issued in their registered domicile.
Additionally, approved platform subscribers are able to create their own structured financial products such as sovereign bonds, crypto ETFs and funds to disrupt an institutional market by tokenizing and fractionalizing real world assets that have high liquidity. A REPO lending margin on bonds is available through the RMC Digital REPO Desk for investors to obtain high yields on invested capital.
There are 3 modules that make up the platform:
• Admin console
• Issuer module
• Investor module
The admin console is the ‘back-end’ platform application that controls operational activities on the platform including managing the blockchain and smart contracts, issuer and investor onboarding, listing of private and public securities, trading activities and payments.
The issuer module manages the listing of projects which have been approved and allowed to publish their investment offers on the platform in the form of tokenized securities.
The issuer onboarding provides a set of content templates based on the type of project and asset that they are seeking to tokenize. Depending on the asset type selected, a smart contract is deployed for the issuer along with a unique token with price set by parameters inputed by the issuer (currency, token price unit, number of token units for sale etc.).
The issuer approval process is split into 2 parts:
1. Project content: information on the project and team
2. Investment offer: the asset that is being tokenized and documentation provided via a Proof of Asset protocol
Both parts involve an admin console approval prior to the project being approved for publishing and token sale.
The token issue is an ERC 20 token that can be listed on both the platform exchange as well as on a DEX market like Pancake Swap as a BEP 20 token that is pegged 1 to 1 with the ERC 20.
For more detailed information please view here . The table below provides a key functionality overview of the issuer module.
Investors are able to purchase regulated securities, either public or privately and that are listed on the platform’s exchange.
Additionally, security tokens can be staked as a BEP 20 synthetic, pegged 1 to 1 with the security token. Because the BEP 20 synthetic is fully backed by the security token asset, the synthetic tokens are protected against speculative devaluation as the tokens can be swapped back to the security token at any time.
For private assets, listing on a DEX market creates liquidity and additional yield for investors.
For more detailed information please view here. The table below provides a key functionality overview of the issuer module.