Case Study: Nonco achieves faster, more efficient collateralization with Stellar

How Nonco Uses Stellar Assets to Collateralize a Financial Derivative

Nonco, a leading institutional crypto trading firm, faced challenges with the inefficiencies of traditional derivatives collateral management. The process was fragmented, slow, and costly, often locking up capital and restricting their ability to respond to market shifts. To promote accountability and liquidity, they turned to Stellar for a modern solution involving asset tokenization.

Stellar's solution involved using the BENJI token, a tokenized money market fund from Franklin Templeton on the Stellar network, as collateral. This allowed Nonco to collateralize a deal with SwapGlobal in an industry-first transaction. The Stellar network settled the transaction in seconds, optimizing liquidity and providing an immutable, transparent record. This use of tokenized assets provided Nonco with greater capital efficiency without adding complex accounting processes.

Nonco

Jeffrey Howard

Partner and Head of North America