Provenance Blockchain Labs (ProvLabs), a leading blockchain development company, has unveiled a transformative platform designed to meet the growing demand for tokenized real-world assets. This platform offers a comprehensive solution for tokenization, administration, listing, and lending, aimed at modernizing financial services and digitizing trillions of dollars of assets on the Provenance Blockchain. The announcement coincides with a new partnership between ProvLabs, Figure Markets, and NAV Lend, further expanding the capabilities of the platform.
Integrating with Figure Markets’ Innovative Marketplace
The newly launched ProvLabs platform offers asset managers the opportunity to list their funds on Figure Markets’ digitally-native “everything marketplace,” a decentralized custody marketplace encompassing a wide range of assets, including cryptocurrencies, stocks, bonds, and credit. In cases where appropriate, these funds can also be traded on the SEC-registered Alternative Trading System (ATS), operated by Figure Securities, Inc., a registered broker-dealer. The platform also streamlines the investor onboarding process through Figure Market’s universal passport, enhancing user experience and accessibility.
NAV Lend: Revolutionizing the NAV Loan Market
As part of this comprehensive offering, NAV Lend, a lending platform that connects borrowers to lenders, introduces a significant innovation by allowing investors to use their fund interests as collateral for loans. Known as “NAV loans,” these financial instruments have been a part of traditional financial services for over a decade. However, their adoption has been limited due to issues of transparency and efficiency. NAV Lend addresses these challenges by leveraging the Provenance Blockchain and Digital Asset Registry Technologies, Inc. (DART) to register, verify, and manage counterparties’ assets. This ensures that assets remain under proper control until the transaction is completed, offering a more transparent and efficient process.
Enhancing Capital Markets with Blockchain Technology
ProvLabs CEO, Anthony Moro, emphasized that the new platform allows fund managers to fully embrace the transformative potential of the Provenance Blockchain. He highlighted that when the blockchain serves as the sole ledger of record for the entire securities lifecycle, it offers significant benefits to both investors and issuers. The platform supports the entire process, from issuance and transfer to settlement and securities lending, enabling digitally-native funds to operate with greater precision, efficiency, and speed.
Figure Markets CEO, Mike Cagney, noted that the capabilities offered by ProvLabs, particularly in ownership perfection and cross-collateralization, are essential for broadening investor and issuer adoption of blockchain-based, real-world asset-focused private funds. He described the partnership between ProvLabs, NAV Lend, and Figure Markets as the fund industry’s best pathway to unlocking the true value of blockchain technology.
NAV Lend Co-Founder, Frank Fernandez, highlighted the advantages of the platform for private fund investors seeking liquidity options. He explained that investors often prefer not to sell their interests at significant discounts in secondary markets, and using illiquid funds as collateral for loans provides a more productive alternative for managing long-term assets. Fernandez pointed out that ProvLabs’ platform, through the Provenance Blockchain, offers an optimal solution for tokenizing funds. He also mentioned that the protocol’s innovative Hold module creates new collateral opportunities while effectively navigating traditional transfer restrictions and regulatory and compliance challenges.
Provenance Blockchain: Leading the Way in Financial Services
This recent development brings the concept of fund tokenization full circle, showcasing the benefits of using the Provenance Blockchain for alternative asset management. To date, the Provenance Blockchain has established itself as the leading global blockchain for financial services, with over $12 billion in financial asset value locked on-chain and more than $30 billion in supported transactions. This platform’s introduction further cements its role as a critical infrastructure for the digitization of real-world assets, offering a robust and efficient solution for asset managers and investors alike.
As ProvLabs continues to innovate and expand its offerings, the financial services industry is poised to experience a significant shift toward more modern, efficient, and transparent operations, driven by the integration of blockchain technology. The partnership with Figure Markets and NAV Lend underscores the collaborative effort to redefine how assets are managed, traded, and leveraged in a rapidly evolving digital landscape.
