Enhancing Global Trade Transactions on Polygon

  • Polytrade is setting the pace for blockchain tokenization in global trade finance.
  • The protocol scored a milestone featuring a major oil and gas deal.

Polytrade Finance, a leading Real-Word Asset (RWA) Marketplace, has emerged as a leader in global trade. Notably, Polytrade, built on the Polygon blockchain, recently recorded a huge achievement: annual international trade transactions totaling over $25 trillion.

In an X post, Polygon congratulated Polytrade for hitting a global colossal trade milestone. 

“And Polytrade is leading the way, on chain, on Polygon,” the platform added.

Breakdown of Polytrade’s Achievement

The latest achievement follows Polytrade’s involvement with RWA tokenization. Polytrade recently executed its first bulk tokenized trade shipment deal using Polygon. 

Polytrade, a decentralized platform dedicated to trade finance, facilitates real-world trade by linking buyers, sellers, insurers, and financiers on the Polygon network. The platform offers businesses a smooth interface to leverage crypto for their trade finance needs.

As a Trade Finance protocol, Polytrade has tokenized approximately $10 million in trade finance. The platform has evolved into a holistic cross-asset marketplace encompassing over ten asset classes from more than 70 protocols. Now, tokenized shipments are available for trade on the Polytrade marketplace. 

To launch this segment, Polytrade partnered with major commodity and equipment suppliers and purchasers from Asia and North America. The long-term partnership will cover repeat quarterly shipments totaling $1 million. Polytrade conducted the first two tokenized trades on October 16, 2024, utilizing its ERC-6960 technology on Polygon. 

These trades represent 81,500 KG of oil and gas equipment cargo traded between Asia, the Middle East, and North America across four containers. The total distance covered was 10,939 nautical miles. 

Polytrade’s Focus on Tokenization

Polytrade’s unique approach to tokenization has positioned it as a trendsetter in international trade, with its substantial influence on the Polygon network. Tokenization helps to address present difficulties, such as inefficiencies from counterparty risk, excessive costs, and payment delays that impede international trade.

For instance, international transactions via SWIFT can take up to 5 days to settle, causing cash flow concerns for buyers and sellers. However, with tokenization, Polytrade can handle a high volume of transactions quickly and efficiently. Also, buyers can easily complete purchases in tranches using the fractionalization feature in ERC-6960.

Polytrade’s vision is to be the leading hub for tokenized assets. To achieve this vision, the platform must consistently introduce new features for both retail and institutional use cases. 

Tokenized international trade opens up a new frontier for Polytrade. Polytrade’s successful completion of the first tokenized asset trade on Polygon also opens it up for further adoption. More players may leverage Polytrade for international transfers as they now find the platform legitimate due to its alliance with reputable partners.

Besides Polytrade, Assetera is another company that is set to build its tokenization projects on Polygon. CNF reported that Assetera will leverage the network’s smart contracts to facilitate secure peer-to-peer trading.


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Source: https://www.crypto-news-flash.com/polytrade-takes-the-lead-enhancing-global-trade-transactions-exceeding-25-trillion-on-the-polygon-network/?utm_source=rss&utm_medium=rss&utm_campaign=polytrade-takes-the-lead-enhancing-global-trade-transactions-exceeding-25-trillion-on-the-polygon-network