PANews reported on December 13 that, according to The Block, Swarm, a DeFi platform headquartered in Berlin and regulated by the German Federal Financial Regulator (BaFin), has launched a permissionless trading platform called "Open dOTC", which is specifically used to trade tokenized forms of physical assets. Built on ETH, the platform uses decentralized over-the-counter (dOTC) smart contracts designed to eliminate slippage, ensure instant settlement and minimize credit and counterparty risk through fully collateralized transactions. According to Swarm, Open dOTC is built in accordance with the EU's MiCA clarity guidelines, where fully decentralized applications are not within the purview of regulators. Swarm also added that it will continue to operate its regulated trading platform to meet the needs of those users who need a regulated DeFi trading infrastructure.
Swarm's tokenized U.S. Treasury ETF is now available, and the platform plans to add tokenized publicly traded stocks such as Apple and TSL. Open dOTC's transaction fees are set at 0.25%, which will be used to purchase and burn Swarm's ETH-based SMT tokens. SMT token was previously used as a payment instrument for trading fee discounts and liquidity rewards on Swarm's licensed and regulated platform. SMT token holders will benefit from Open dOTC's trading activity, marking it as a community-owned project. However, the potential benefits come from a reduction in SMT supply, rather than any formal community ownership or governance plan, as Open dOTC as a public good service is not owned or managed by anyone.
