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id capabilities-overview
title Product Capabilities
sidebar_position 1

ATS Product Capabilities

Asset Tokenization Studio enables you to digitize, issue, and manage securities on the Hedera blockchain. This guide provides a comprehensive overview of what you can accomplish with ATS.

At a Glance

Category What You Get
Security Types Equity tokens (shares, units) and Bond tokens (debt instruments)
Compliance Built-in KYC/AML, transfer restrictions, and regulatory controls
Corporate Actions Dividends, voting, coupons, stock splits, and redemptions
Settlement Real-time transfers, holds, escrow, and clearing workflows
Access Control Role-based permissions for operations, compliance, and administration
Integrations Enterprise custody (Dfns, Fireblocks, AWS KMS), WalletConnect, Hedera Mirror Node

Issuing Digital Securities

Equity Tokens

Create digital shares that represent ownership in a company, fund, or other entity.

Feature What It Does Business Benefit
Configurable Share Classes Issue different classes (Common, Preferred, Series A/B) as separate partitions Support complex cap table structures with different rights per class
Built-in Voting Rights Attach voting power to tokens with record-date snapshots Run shareholder votes without manual voter list compilation
Dividend Distribution Configure dividend events with automatic eligibility tracking Pay dividends to the right holders based on record date ownership
Stock Splits & Consolidations Schedule balance adjustments that multiply or divide holdings Execute corporate restructuring without manual recalculations
Supply Management Set maximum supply caps globally or per share class Prevent over-issuance and maintain accurate capitalization

Common Use Cases:

  • Private equity fund tokenization
  • Employee stock ownership plans (ESOP)
  • Real estate investment trusts (REITs)
  • Venture capital fund units
  • Revenue sharing agreements

Bond Tokens

Create debt instruments with scheduled interest payments and maturity dates.

Feature What It Does Business Benefit
Coupon Configuration Define interest rate, payment frequency, and payment dates Automate bond economics without manual tracking
Maturity Management Set maturity date with automatic redemption eligibility Ensure timely principal repayment at maturity
Nominal Value Tracking Track face value separately from market price Maintain accurate accounting for interest calculations
Multiple Coupon Types Support fixed, floating, or custom rate structures Flexibility for different bond structures
Partial Redemption Allow early redemption of portions of holdings Support callable bonds and partial buybacks

Common Use Cases:

  • Corporate bonds
  • Municipal bonds
  • Green bonds and sustainability-linked debt
  • Revenue bonds
  • Convertible notes

Managing Investor Compliance

Identity & KYC Verification

Ensure only verified investors can hold and trade your securities.

Feature What It Does Business Benefit
On-Chain KYC Registry Store investor verification status directly on-chain Instant verification checks on every transaction
Validity Periods Set expiration dates for KYC approvals Ensure ongoing compliance with re-verification requirements
External KYC Providers Connect third-party verification services Reuse existing KYC infrastructure and share verification across tokens
Credential Tracking Link verification to specific credential IDs Audit trail connecting on-chain status to off-chain documentation
SSI Integration Support Self-Sovereign Identity with Terminal 3 Enable decentralized, user-controlled identity verification

Transfer Restrictions

Control who can send, receive, and hold your tokens.

Feature What It Does Business Benefit
Allowlists Only approved addresses can receive tokens Restrict ownership to verified investors
Blocklists Prevent specific addresses from receiving tokens Block sanctioned entities or non-compliant jurisdictions
Automatic Validation Every transfer is checked against rules before execution Impossible to accidentally transfer to non-compliant holders
External Control Lists Connect to third-party compliance providers Integrate with existing compliance infrastructure
Jurisdictional Rules Apply country-specific regulations (USA supported) Meet local regulatory requirements automatically

Running Corporate Actions

For Equity Tokens

Action What It Does When to Use It
Dividend Distribution Calculate and record dividend entitlements based on record date Quarterly/annual profit distributions
Shareholder Voting Create voting events with eligibility based on ownership snapshot Board elections, M&A approvals, bylaw changes
Stock Split Multiply all holder balances by a ratio (e.g., 2:1) Increase liquidity, adjust share price
Reverse Split Divide all holder balances by a ratio (e.g., 1:10) Consolidate shares, meet listing requirements
Balance Snapshot Record all holder balances at a point in time Record dates, regulatory reporting, audits

For Bond Tokens

Action What It Does When to Use It
Coupon Payment Record interest payment entitlements for all holders Scheduled interest payments (monthly, quarterly, semi-annual)
Maturity Redemption Allow holders to redeem principal at maturity Bond maturity date
Early Redemption Enable partial or full redemption before maturity Callable bonds, investor buybacks
Rate Adjustment Update coupon rate for floating-rate instruments Rate reset dates for variable bonds

Controlling Token Operations

Emergency Controls

React quickly to regulatory requests or security incidents.

Control Scope Use Case
Pause Token Stops ALL operations for the entire token Regulatory halt, security breach, major incident
Freeze Account Blocks a specific investor from all operations Legal hold, dispute resolution, suspicious activity
Partial Freeze Locks a specific amount in an investor's account Collateral lock, pending investigation, escrow
External Pause Third-party systems can trigger pauses Integration with external compliance monitoring

Operational Controls

Control What It Does Business Benefit
Forced Transfer Move tokens between accounts without holder consent Court orders, estate transfers, error correction
Forced Redemption Remove tokens from circulation without holder consent Regulatory requirements, squeeze-out procedures
Batch Operations Process thousands of operations in a single transaction Efficient bulk issuance, transfers, or redemptions

Settlement & Clearing

Hold Operations (Escrow)

Secure tokens during settlement without transferring ownership.

Stage What Happens Example
Create Hold Tokens are locked with a beneficiary and expiration Buyer places order, tokens held pending payment
Execute Hold Tokens transfer to beneficiary upon settlement Payment confirmed, tokens released to buyer
Release Hold Hold cancelled, tokens return to original holder Deal falls through, tokens returned
Reclaim Hold Holder reclaims tokens after expiration Settlement deadline passed

Clearing Workflows

Two-phase settlement for complex transactions.

Phase What Happens Example
Initiate Create pending operation (transfer or redemption) Trade matched, awaiting settlement
Approve Counterparty or clearing house approves Settlement conditions met
Execute Operation completes Tokens transfer, trade settled
Cancel Operation rejected and reversed Settlement failed, positions restored

Supported Workflows:

  • Delivery vs Payment (DVP)
  • Trade settlement with clearing house approval
  • Multi-party transactions with escrow
  • Collateral management

Access Control & Permissions

Role-Based Security

Separate duties across your organization with granular permissions.

Role What They Can Do Typical Assignment
Admin Manage roles and permissions C-suite, board members
Minter Issue new tokens Treasury, issuance team
Burner Redeem/burn tokens Treasury, redemption team
Controller Force transfers and redemptions Legal, compliance (emergency use)
Pauser Pause/unpause all operations Compliance, security team
Freezer Freeze/unfreeze specific accounts Compliance, legal
Compliance Manage KYC, allowlists, blocklists Compliance team
Corporate Actions Set up dividends, voting, coupons Finance, corporate secretary
Clearing Manage settlement workflows Operations, back office
Snapshot Create balance snapshots Finance, reporting

Best Practices

  • Segregation of Duties: Don't give one person both Minter and Burner roles
  • Principle of Least Privilege: Only assign roles that are needed
  • Multi-Sig for Critical Actions: Require multiple approvals for high-risk operations
  • Regular Access Reviews: Audit role assignments periodically

Integration Options

For Developers

Integration What It Provides Use Case
TypeScript SDK Full programmatic access to all operations Build custom applications, automate workflows
Smart Contract APIs Direct contract interaction Advanced integrations, custom logic
Event Subscriptions Real-time notifications of on-chain events Sync external systems, trigger workflows

For Enterprises

Integration What It Provides Use Case
Dfns Enterprise key management Institutional-grade custody
Fireblocks Institutional custody platform Large-scale asset management
AWS KMS Cloud-based key management Cloud-native deployments
WalletConnect Connect any compatible wallet End-user wallet integration

For Data & Reporting

Integration What It Provides Use Case
Hedera Mirror Node Historical transaction data Reporting, analytics, audit
Balance Snapshots Point-in-time holder records Regulatory reporting, record dates
Event Logs Complete operation history Compliance audit, reconciliation

Next Steps

Ready to get started? Choose your path:

Or dive into specific guides: