Quick Breakdown
- Libeara Chain debuts Singapore’s inaugural tokenized gold fund with full backing from physical bullion.
- Standard Chartered and DAMAC back the platform, targeting institutions with on-chain gold exposure.
- Fund supports instant settlement and composability, bridging TradFi with blockchain efficiency.
Libeara Chain, supported by Standard Chartered and real estate giant DAMAC, has launched Singapore’s first tokenized gold fund. The product allows investors to own digital gold tokens fully backed by physical bullion stored in secure vaults. Available immediately on the Libeara platform, it offers 24/7 trading without traditional market hours restrictions.
The fund represents a key step in real-world asset (RWA)tokenizationn, combining gold’s stability with the speed of blockchain. Institutions can now access fractional gold ownership, seamless transfers, and integration with DeFi protocols. Singapore’s regulatory clarity under the Monetary Authority of Singapore (MAS) facilitated the rollout, positioning the city-state as an RWA hub.
Tokenization drives gold into DeFi ecosystems
Gold tokenization addresses legacy issues like high custody costs and limited liquidity. Libeara’s model uses audited reserves and smart contracts for transparency, appealing to family offices and hedge funds. Early adoption could mirror BlackRock’s success with its tokenized fund, with RWAs projected to reach $16 trillion by 2030, according to industry estimates.
Standard Chartered’s involvement signals TradFi’s confidence in blockchain rails. The bank, active in digital asset pilots, views tokenization as a bridge for commodities. DAMAC Properties adds credibility through its regional asset backing, enhancing trust in the gold reserves.
Singapore solidifies RWA leadership
Singapore’s pro-crypto stance, including Project Guardian, has attracted firms like Libeara. This launch follows similar moves by Singapore Exchange (SGX) to explore tokenized securities. Regional competition from Hong Kong intensifies, but MAS oversight provides a compliance edge for global players.
Libeara plans to expand into other commodities, leveraging its Layer-1 chain for scalability. Market watchers note that rising gold prices amid geopolitical tensions boost demand for such products.
Meanwhile, a major Hong Kong tokenization pilot involving DigiFT, UBS, and Chainlink successfully automated complex fund operations via smart contract-to-smart contract interactions, utilizing Chainlink’s Digital Transfer Agent (DTA) standard. This collaboration enabled the real-time, transparent execution of tasks such as subscriptions and compliance checks, replacing manual fund administration. The project established a regulated, replicable model for institutional tokenized funds, strengthening Hong Kong’s position as a hub for compliant on-chain finance and advancing the integration of programmable blockchain infrastructure into regulated asset management.
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