SMT: introducing staking against tokenized real world assets

Published in

Swarm.com

3 min readAug 4, 2023

In Spring 2023, we announced a set of deflationary measures for SMT and ways we intend to increase the utility of the token.

In April this year, SMT holders chose the securities that should be listed on Swarm’s regulated DEX. As a result, we now have 11 securities on the platform:

US Treasury Bond ETFs

iShares US treasury bond 0–1 year ETF
iShares US treasury bond 1–3 year ETF

Public Stocks

Apple
Blackrock
Coinbase
Coupang
Intel
Microsoft
Microstrategy
NVIDIA
Tesla

Now, SMT holders will be able to stake SMT against the tokenized securities listed on the Swarm platform to earn rewards.

The new category of stakers are SMT holders who lock up their tokens by staking against securities that are available for trading on Swarm. Stakers will receive a prorated share of the rewards generated from trading volume.

SMT staking is available to anyone who holds the ERC-20 token. Staking will be done on a dedicated platform, which does not require onboarding.

Image: A preview of what the SMT staking platform will look like

How it works

Rewards are calculated based on the trading volume of the tokenized securities on Swarm’s regulated platform, which requires user onboarding.

As long as users stake SMT, they will earn rewards. After a warm-up period of seven days, token holders will start to earn rewards on their staked assets and users can unstake their assets at any time.

APY is dynamic based on the amount of SMT staked against a particular security and the trading volume of that security on the Swarm platform. This will be updated in the UI of the staking platform.

Tokenized real world assets on Swarm

Swarm is the only regulated venue to have liquidity pools with tokenized securities and crypto assets that can be accessed by both retail and institutional investors.

All tokenized securities are prospectus based. All published prospectus and notifications for the Stock Certificate Tokens can be found under the ESMA prospectus registry (search for keyword “SwarmX”)

For more information, visit our website or join the SMT community on Telegram.

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FAQs

What is SMT’s utility?

Launched in August 2021, SMT holders get discounts on trading fees and rewards boosts for providing liquidity on Swarm’s regulated blockchain platform.

2. How many vesting periods from the initial sale are left?

Vesting is complete. We are in week 87 (as of 05 April 2023) of providing rewards to liquidity providers on the Swarm platform.

3. How many SMT tokens does the Swarm team have?

No team allocation.

4. What networks is the Swarm platform available on?

Ethereum and Polygon

5. How can I bridge tokens to Polygon on Swarm?

Use the Polygon bridge: https://wallet.polygon.technology/

6. What is available to trade on Swarm?

Swarm is the first regulated DeFi platform to launch tokenized public stocks, like Apple and Tesla, and US Treasury Bond ETFs. Users of the platform can also trade native crypto assets like Bitcoin and Ether, stablecoins like Dai and USDC, and Liquid Staking tokens across five proof-of-stake networks.

7. Where can I buy SMT?

Uniswap: https://info.uniswap.org/#/pools/0x1becf1ac50f31c3441181563f9d350ddf72a2bfa

Swarm: https://app.swarm.com/

Bitglobal: https:// www.bitglobal.com/en-us/spot/trade?q=SMT-USDT

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