Comment on page
MANTRA recognizes that the Cosmos ecosystem lacks a chain that is specifically designed to provide regulatory compliance across a wide range of real-world assets (RWA) and tokenized assets. Given this gap in the current ecosystem, we strongly feel that a “chain of regulated digital assets” will create a forward-thinking protocol that attracts users from diverse backgrounds, many of whom may not be current participants within the crypto space, and who value the importance and safety of regulatory compliance.
It is clear that regulation of the Web3 space and the products and services that Web3 provides is coming in many jurisdictions around the world. MANTRA Chain welcomes this development. MANTRA Chain is being developed with regulatory compliant modules so that it can capitalize on licenses from regulatory authorities, such as SOMA.finance’s U.S. licenses, and the licenses MANTRA Finance will pursue in the UAE, Latin America and other jurisdictions across the globe. We believe this will attract institutional and retail users that potentially come from a more traditional and regulated background. Furthermore, a chain designed to service regulated digital assets will not only attract a wider range of user demographics, but also institutional and retail developers that look to build products in a regulatory compliant and transparent environment.
In addition, with MANTRA’s underlying security and compliance monitoring, builders will be able to develop MANTRA Chain based projects and applications without friction. This will enable us to attract a diverse group of Web3 builders focusing on payments, real-world assets, and more. MANTRA Chain aims to be proactive and forward thinking, to capitalize on the wave of increasing regulatory requirements adopted by governments around the world.
MANTRA Chain is built on top of the Cosmos SDK, as Cosmos intends to be the ‘internet of blockchains’, creating a network of independent blockchains. These independent blockchains are called ‘zones’ and are powered by Byzantine fault-tolerant ("BFT") consensus protocols like Tendermint.
Tendermint provides a high-performance, consistent and secure BFT consensus engine, where strict fork-accountability limits the ability of malicious actors to cause harm. Tendermint is well suited for scaling heterogeneous blockchains, including public blockchains such as EVMOS, which is known as an extremely fast Proof-of-Stake (PoS) implementation of Ethereum, as well as performance critical permission/consortium chains.
To develop robust interoperable blockchains and blockchain applications with the Cosmos Hub, Cosmos SDK provides developers with a blockchain development 'starter-kit' of common blockchain modules, while not enforcing user stories; this provides maximum flexibility for application customization.
“Permissionless blockchain for permissioned applications”
We believe that future regulation will primarily focus on the application layer, rather than the protocol layer. Therefore, it makes logical sense to build a protocol that supports a variety of regulated activities. This includes on-chain identification, permissioned access to products, and connectivity to the fiat/banking world through on/off ramps. MANTRA Chain is developed for this specific purpose: to allow for the permissionless ability to build Web3 applications on a high performance, scalable blockchain architecture, but with the toolkit to build regulated, compliant and permissioned applications.