Decoding the Move: Why Enegra Chose Polygon

Enegra Group, a significant player in the commodities trading sector based in Malaysia, recently transitioned its equity-linked security tokens from Ethereum to the Polygon blockchain. With a hefty net asset value of $28 billion, this strategic pivot isn’t just a fancy tech upgrade; it’s about enhancing liquidity for investors.

The Great Tokenization Adventure

In 2019, Enegra made headlines by tokenizing 100% of its equity, allowing shareholders to exercise their rights to dividends and voting digitally. Presented with a new blockchain opportunity, the firm sought faster, cheaper, and more compliant transactions to maximize benefits for its investors. Matthew Averay, the Managing Director and CEO, emphasized the need for improved liquidity, stating that this migration allows investors to utilize cutting-edge technology.

Partners in Innovation: The Roles of Polygon and Tokeny

The migration was brought to fruition with the support of two critical partners: the Polygon network and Tokeny, an asset tokenization and compliance facilitator. Sandeep Nailwal, co-founder of Polygon, expressed excitement about the future of tokenization in decentralized finance (DeFi), hinting at its potential to revolutionize traditional asset trading.

The Cost Factor: Why Polygon?

As the Ethereum network grapples with high gas fees—around $153 per smart contract execution—many are turning to low-cost alternatives like Polygon. With over 3 million transactions processed daily and approximately 105 million unique wallet addresses, it’s clear why Polygon is becoming the go-to infrastructure for decentralized applications and digital assets.

Token Migration Made Easy

Tokeny’s CEO, Luc Falempin, reassured issuers that the days of being trapped on a single blockchain are over. Thanks to new tools and processes, migrating assets across networks is now more straightforward than ever, allowing companies like Enegra to grow seamlessly without losing their digital legacy.

The Future Looks Bright

Enegra’s migration is not just a step for the company but a significant movement in the world of regulated digital assets. As one of the first regulated firms to issue equity-backed tokens on the Polygon network, Enegra is setting a precedent that could inspire other organizations to follow suit.