Polymath is building a security token blockchain in collaboration with IOHKâs Charles Hoskinson, one of the co-founders of ethereum.
Dubbed Polymesh, the new platform will be designed specifically for companies that want to create regulation-compliant security tokens, Polymath co-founder Trevor Koverko announced Monday at CoinDeskâs Consensus 2019. In theory, a purpose-built blockchain will help spur adoption of security tokens by streamlining the process for companies looking to launch tokenized assets.
Hoskinson, who also co-founded ethereum and cardano, will be Polymeshâs âco-architect,â according to a press statement.
Polymath, a security token platform, has already supported the launch of 120 different security tokens, the release noted, but their actual adoption remains low when compared to the rest of the crypto ecosystem.
Compliance with regulations is one reason why, the company contends. It noted that Polymathâs security tokens were built on ethereum, the worldâs second-largest cryptocurrency by market cap.
Ethereumâs goal of enabling âunstoppable applicationsâ runs counter to the point of most security tokens. As such, developers working on Polymesh will consider what capital markets may actually need when building the network.
In a statement, Hoskinson said he was âlooking forward to working on Polymesh,â adding:
âThere are quadrillions of dollars of financial securities, and building a blockchain to secure them is an incredibly exciting task.â
Koverko added in a statement that Polymath was excited to work with Hoskinson âon the worldâs first purpose-built blockchain for security tokens.â Hoskinsonâs past experience working on both ethereum and cardano would help in developing this new network, he said.
Trevor Koverko image courtesy Polymath