- The collaboration between Laser Digital, Nomura’s crypto-focused subsidiary, and TruFin highlights a growing trend of institutional interest in decentralized finance (DeFi) innovations.
- By launching an institutionally focused liquid staking fund on Polygon, these entities are tapping into the potential of blockchain technology to offer new investment opportunities to sovereign wealth funds, institutional funds, and private asset managers.
Laser Digital, a subsidiary of Japanese asset manager Nomura, has introduced a new liquid staking fund on the Polygon network in collaboration with TruFin, catering specifically to institutional clients.
Named the Laser Digital Polygon Adoption Fund, this initiative offers institutional investors exposure to Polygon’s native gas token, MATIC, along with access to native staking rewards.
Targeting sovereign wealth funds, institutional funds, and private asset managers, the fund represents a significant step towards decentralized security adoption among institutional investors. According to Laser Digital, this move underscores the growing recognition and necessity of decentralized security within the institutional landscape.
Utilizing the TruStake liquid staking solution, investors in the fund can potentially earn higher yields compared to traditional staking solutions. Partnering with Balancer and Chainlink, TruFin ensures liquidity for the TruMATIC token, further enhancing the attractiveness of the investment opportunity.
The fund leverages Polygon’s AggLayer, a technology that aggregates zero-knowledge proofs from various connected blockchains, enhancing liquidity, transaction speed, and operational efficiency. Initially available to investors in the United Kingdom upon regulatory approvals, the fund aims to bridge the gap between decentralized finance (DeFi) investment opportunities and traditional finance (TradFi) solutions.
Sebastien Guglietta, Head of Laser Digital Asset Management, highlighted the transformation of DeFi investment opportunities into viable TradFi solutions. By integrating TruFin technology with Polygon’s AggLayer, the fund seeks to make Polygon-Matic digital asset investment accessible, secure, and efficient for institutional investors.
Colin Butler, Global Head of Institutional Capital at Polygon, emphasized the significance of institutional participation in staking, noting its potential to enhance the overall security of the Polygon network. As one of the leading layer 2 scaling networks for Ethereum, Polygon stands to benefit from increased institutional involvement in staking activities.
The introduction of the Laser Digital Polygon Adoption Fund comes at a crucial time for both Polygon and Ethereum, particularly with recent upgrades aimed at reducing transaction costs and enhancing scalability. While liquid staking presents significant opportunities for DeFi, concerns about its impact on network centralization persist, prompting ongoing discussions within the crypto community led by figures like Vitalik Buterin.
Advancing Institutional Adoption
The launch of the Laser Digital Polygon Adoption Fund marks a significant milestone in the journey towards institutional adoption of decentralized finance (DeFi) solutions. By offering institutional investors exposure to Polygon’s native token, MATIC, and leveraging liquid staking technology, the fund not only provides attractive investment opportunities but also contributes to the broader ecosystem’s growth.
With the support of TruFin’s innovative solutions and Polygon’s AggLayer technology, the fund aims to bridge the gap between traditional finance and decentralized networks, paving the way for more institutional participation in the crypto space. As institutional involvement continues to grow, Polygon stands to benefit from increased security and liquidity, further solidifying its position as a leading layer 2 scaling solution for Ethereum.
Disclaimer : This article was created for informational purposes only and should not be taken as investment advice. An asset’s past performance does not predict its future returns. Before making an investment, please conduct your own research, as digital assets like cryptocurrencies are highly risky and volatile financial instruments.