Cryptocurrency exchange KuCoin announced a partnership with AlloyX to launch a new initiative for token collateralization with real-world assets, focusing on the integration of the RYT token into the Off-Exchange Settlement system.
Collaboration between KuCoin and AlloyX
KuCoin and AlloyX have launched a project to integrate the RYT token into the Off-Exchange Settlement system, allowing token holders to utilize credit lines on the KuCoin platform. This initiative combines yield generation with token usability as collateral.
Features of the RYT Token
The RYT token is backed by the ChinaAMC USD Digital Money Market Fund and issued by a licensed asset manager under the custody of Standard Chartered in Hong Kong. This allows users to earn returns while holding the token and to configure money market fund tokens alongside other on-chain assets.
Future of Real-World Asset Tokens
KuCoin emphasizes that although the adoption of real-world assets (RWA) is still in its early stages, the company recognizes the potential of RWA in institutional design and risk management. It is expected that the collaboration with AlloyX will contribute to shaping practical standards for future RWA implementation.
The collaboration between KuCoin and AlloyX in the realm of real-world asset tokens opens new opportunities for users and enhances the reliability and security of digital assets in dynamic market conditions.
