Citi Bank, Managing $759 Billion, Announces Altcoin Network of Choice to Implement Planned New Features

Citi Bank conducted a proof-of-concept experiment to explore the tokenization of private equity funds using Avalanche’s (AVAX) Spruce subnet. This move is seen as an attempt to restructure capital markets.

The bank collaborated with traditional finance giants WisdomTree and Wellington Management for the trial, which aired on Avalanche’s Spruce subnet. Spruce is known as an Evergreen subnet designed specifically for large financial institutions that want to use public blockchain infrastructure.

Citi’s decision to join the subnet is the latest move by a Wall Street giant to delve deeper into potential uses of blockchain technology. Traditional finance (TradFi) companies such as T. Rowe Price, WisdomTree, Wellington Management and Cumberland joined the subnet in April last year to make transaction execution and payments more efficient.

The latest testing by Citi included peer-to-peer token transfers, secondary transfers to facilitate trading, and validation of new features through secured lending. The bank’s proof of concept showed how smart contracts could potentially enable greater automation and create improved compliance and controls for investors and issuers.

“By testing the tokenization of private assets, we believe we are exploring the feasibility of opening up new operating models and creating efficiencies for the broader market,” said Nisha Surendran, emerging solutions leader at Citi Digital Assets.

*This is not investment advice.

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Source: https://en.bitcoinsistemi.com/citi-bank-managing-759-billion-announces-altcoin-network-of-choice-to-implement-planned-new-features/