Published Feb 27, 2023
By Qredo Team
Tokenization has become increasingly popular as a means of raising capital and for the purposes of digitizing paper-based processes and assets. However until recently, tokenization tech and smart contracts programming was time consuming, costly, and required in-depth technical knowledge.
One tool that has gained significant traction in the space and solves many of the hurdles related to tokenization is Bitbond's Token Tool – a Web3 app which allows users to easily create tokens without any coding required. Bitbond is a leading provider of tokenization software for banks and financial institutions.
With the launch of WalletConnect on Qredo, you can now create and manage tokens in a secure way by leveraging our dMPC self-custody wallet that provides secure transaction deployment for organizations.
Prominent tokenization use cases
Use cases for tokenization abound, here is a quick breakdown on some of the most popular uses seen in the space so far.
Digital assets such as securities and stablecoins
Tokenizing financial securities (i.e. security tokens) or fiat currencies (i.e. stablecoins) provides greater liquidity and accessibility alongside reducing risk. A digital representation of real-world assets is created on the blockchain through tokens. These tokens are easily bought, sold, and traded on blockchain platforms.
Utility tokens are digital tokens that are assigned a certain type of utility. This can be for example to access certain products or services. They are often used in decentralized applications (dApps) to grant access to particular features or functionality.
Non-fungible tokens (NFTs)
Non-fungible tokens represent ownership of unique digital items, they have only one owner at a time, unless fractionalized. Issued on a blockchain, they possess an immutable record of ownership just like other tokens. They are ideal for verifying ownership through unique, one-of-a kind digital items.
Furthermore, NFTs can be used in a virtually endless ways, some of these include:
Cryptoart (digital art on the blockchain)
In the digital art space, NFTs are used to authenticate and monetize artwork. Artists can prove ownership and authenticity, and sell their creations as unique, one-of-a-kind items. This has opened up new opportunities for artists to earn income from their digital creations.
There is also a strong tradition in the cryptoart space of rewarding artists continually during secondary market trading thanks to on-chain royalties distributed to their wallet at every secondary sale.
Creators can use NFTs to authenticate and monetize their digital items. These are typically used for in-game items, trading cards, and other potential collectibles, often within Web3 games.
Entry tickets to Web3, physical and phygital events
NFTs can also be used as a digital ticketing solution for events and experiences, whether live, digital or hybrid (phygital). Using NFTs for tickets can provide a secure and convenient way for event organizers to sell and manage tickets. This can also provide added value for ticket holders such as access to exclusive VIP experiences.
Using NFTs for loyalty programs can provide a secure and convenient way for companies to manage and reward customer loyalty, and can also provide added value for customers.
The uniqueness of NFTs can also apply in creating certificates. This can be used as certification for completing a specific training, or even as a diploma for university graduates.
Lastly, NFTs can be used to create digital twins of physical assets on the blockchain. This enables issuers to have a more efficient means of exchanging, tracking, or selling their digital assets.
Token Tool x Qredo x WalletConnect: A Secure and Hassle-Free Solution for Tokenization
As an organization, you wish to deploy transactions on behalf of your company while ensuring that all transactions are secure and compliant. This can be challenging due to the complex nature of blockchain technology, especially when lacking the know-how to securely execute complex technical processes. Qredo, WalletConnect and Token Tool are all part of the solution to making this process smooth, capital efficient, and secure.
WalletConnect facilitates the integration between wallets and decentralized applications (dApps), providing secure access and simplifying integration for developers.
By combining these solutions with the intuitive tokenization product Bitbond Token Tool, organizations can leverage the power of tokenization easily and securely, without sacrificing on standards of compliance.
How to create ERC20 tokens using Token Tool and Qredo
To create a token using Qredo, you'll first need to set up a Qredo account and create a fund alongside setting up your wallet. Now you can establish a WalletConnect connection in the designated Qredo fund / Wallet.
Fund your Qredo Wallet with sufficient balance to pay for transaction fees and Token Tool service fees. A price list for the different Token Tool functions can be found in the terms.
Once you have completed setting up your Qredo x WalletConnect Wallet and funded it, you can connect to Token Tool under "Connect Wallet" by selecting WalletConnect. Scan the QR code, and you will be connected instantly.
Once connected, fill in the necessary parameters under "Create Token". This process may vary depending on the specific requirements of your token. Check out how to create a token guide for more details.
After specifying the parameters for your token, click on "Create token". A notification will appear in your Qredo Wallet to sign the transaction with the necessary number of approvals.
Once fees are paid, and the transaction is processed by the network, a pop-up window will appear announcing the successful creation of your token.
How to create your own NFT using Token Tool and Qredo
The process to create an NFT (i.e. an ERC721 token) on Token Tool using Qredo is similar to the process above for creating an ERC20 token. Make sure you have sufficient funds in your wallet to cover service + gas fees:
Go to Token Tool and click on Create NFT.
Select your network of choice.
Connect your wallet via WalletConnect.
Select "Single asset minting" or Collection minting", depending on your requirements.
Fill in the parameters for your NFT (e.g. Name, Symbol etc.).
Click the "Create NFT" button at the bottom and approve the transaction in your Qredo Wallet to pay fees.
Once complete, you will get an NFT display link to which you can redirect users to mint their own NFTs.
You can take actions for your NFT under the Manage NFT section of Token Tool.
How to create and run a token sale using Token Tool and Qredo
While connected to Token Tool, go to Create Token Sale. Configure your token sale according to the necessary parameters for your offering (such as the number of tokens being offered, the price per token, duration, etc). Here is a guide on how to create a token presale using Token Tool.
Once any fee is paid, and the transaction is processed, a window will appear with your token sale information. You can share your token sale link with investors, or embed an HTML iFrame of your offering directly into your own website. The iFrame code snippet for your token sale can be found under Manage Token Sale.
Become empowered in your tokenization journey
By using Bitbond Token Tool, you can bypass technical hurdles related to tokenization and easily create and manage tokens without having to deal with complex, high-resource or demanding workflows. Additionally, Token Tool smart contracts have been audited by CertiK, a leading smart contract auditing firm.
Thanks to Qredo and WalletConnect integration, you can ensure that your transactions are secure and compliant.
In summary, by leveraging Token Tool and Qredo, you can securely create and manage tokens for your organization, conduct token sales, and rely on leading service providers to improve your workflow, all through seamless Web3 integration enabled by WalletConnect.
Qredo is constantly expanding our reach across the blockchain ecosystem, connecting you to the infrastructure needed to engage securely and effortlessly with the fascinating and emergent world of DeFi, including all the latest developments in tokenization.
Thanks for being part of the journey!