_TOKENIZATION/

Tokenize real-world assets on auditable rails

Connect off-chain cash flows to on-chain tokens with a double-entry ledger that keeps issuance, distributions and redemptions provably in sync.

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custody

distribute

redeem

_THE PROBLEM/

On-chain tokens, off-chain truth

The cash leg is where tokenization breaks.

Tokens represent real assets, but the cash, distributions and redemptions live off-chain. Keeping both sides reconciled is the hard part.

Subscriptions and redemptions reconcile manually against on-chain supply.

Income distributions to holders are scripted ad-hoc and hard to audit.

Off-chain custody balances drift from the tokenized representation.

Regulators expect a provable link between the asset and its token.

_PROOF/ Tokenization platforms on Formance keep the cash leg provably in sync with on-chain supply.

_FLOW OF FUNDS/

Subscribe, distribute, redeem

The cash leg, mirrored to the token leg.

Investor cash subscribes into a custody account, income distributes pro-rata, and redemptions return capital — each posting mirrored to token events.

cash ↔ token

subscribecash → custody

custodyasset held

distributeincome → holders

redeemreturn capital

_CAPABILITIES/

The cash leg, handled

On the open-source Formance ledger.

Custody, distributions and redemptions, provably linked to the token.

_CUSTODY LEDGER/

Track the cash and assets backing each token in segregated, double-entry accounts with derived balances.

segregated custody

_DISTRIBUTIONS/

Model pro-rata income distributions to holders as deterministic, auditable Numscript transactions.

deterministic, pro-rata

Read the Numscript docs

_TOKEN SYNC/

Keep off-chain postings and on-chain token events in lockstep, so cash and supply always agree.

cash ↔ token in sync

_BY THE NUMBERS/

Provable from day one

always in synccash↔tokenmirrored postings

distributionspro-ratadeterministic

auditable100%immutable log

_NUMSCRIPT/

Distribute income, pro-rata

Split a distribution across holders in one transaction.

Allocate an income distribution across token holders proportionally — deterministic and fully auditable.

Try it in the Playground

distribute.num

// Distribute income pro-rata to token holders
vars {
  monetary $income
  account $holderA
  account $holderB
}

send $income (
  source = @custody:income
  destination = {
    60% to $holderA
    40% to $holderB
  }
)

_VOICES/

Trusted by builders

“Formance enabled us to ship new lending products faster by providing a customizable foundation that let us reliably express the complexities of our flow of funds.”

Embedded finance · reconciliation across 14 countries

See customer story

“Formance is the foundation of our Financial OS, the open-source approach lets us retain control over this key component.”

Healthcare · Financial OS

“Formance helped us kick off our move into fintech, with robust infrastructure and intuitive developer tooling.”

Benefits · fintech infrastructure

_RESOURCES/

Keep going

Everything you need to evaluate and build on Formance.

_DOCS/

Read the documentation

Architecture guides, the Ledger and Connectivity references, and step-by-step quickstarts to ship in days.

_NUMSCRIPT/

Try Numscript

Model any flow of funds as deterministic, auditable transactions. Experiment live in the playground.

_STORIES/

Customer stories

See how fintechs, marketplaces and platforms run money movement on Formance in production.

FAQ

Tokenization, answered

01 / HOW DO YOU LINK THE TOKEN TO THE ASSET?

The cash and assets backing each token live in segregated, double-entry custody accounts. Off-chain postings and on-chain token events are kept in lockstep, giving regulators a provable link between asset and token.

02 / HOW ARE DISTRIBUTIONS HANDLED?

Pro-rata income distributions are deterministic Numscript transactions — auditable and reproducible. Allocations cannot silently drift from the holder register.

03 / WHAT KEEPS CASH AND SUPPLY IN SYNC?

Subscriptions, distributions and redemptions each post on the cash leg and mirror to token events, so circulating supply and backing cash always agree.

04 / IS THE FULL HISTORY AUDITABLE?

Yes. Every movement is an immutable double-entry transaction, so you can reconstruct custody balances and token state at any point in time.

_GET STARTED/

Build on infrastructure you can trust

See how Formance fits your stack, book a demo, or start building today.

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