Overview

Securitize, a leading issuer of tokenized assets, along with oracle provider RedStone, has introduced a new whitepaper claiming to unveil a model for securely validating Net Asset Value (NAV) data on-chain. This model is specifically designed for tokenized private funds.

The framework, labeled as the Trusted Single Source Oracle (TSSO), aims to solve a major issue in decentralized finance infrastructure, which is the reliable verification of NAV updates to prevent data tampering after it is recorded on-chain.

Key Highlights

• The TSSO framework guarantees a cryptographically linked chain of NAV updates that includes a secure digital signature, timestamp, reference to the preceding record, and a hash locking the sequence together.
• Utilizes two keys: a “root key” for significant updates and a “chain key” for routine adjustments, ensuring high security while enabling timely NAV data refreshes.

Quotes

“We need to make sure that we can fully authenticate the information, that we can check that no one is compromising with the data… that’s the challenge,” stated Jakub Wojciechowski during a discussion with CoinDesk.

According to Wojciechowski, Securitize leads the product’s development, aiming to implement a system that securely manages price updates, maintaining trust in the data source.

The introduction of models like TSSO could propel tokenized funds into institutional acceptance, bridging the gap between traditional finance and blockchain.

Securitize is currently conducting pilot tests of the TSSO with clients, anticipating broader access soon.