Coinbase has launched a blockchain platform called Project Diamond, which enables users to issue and trade digital assets, such as digital debt instruments.

Its key features include integrations with Coinbase’s Ethereum scaling network, Base, as well as support for Coinbase Prime, the company’s custody service, and USDC, Circle’s USD-pegged stablecoin.

The company stated that it had secured an “in-principle approval” from the Financial Services Regulated Activity (FSRA) of the Abu Dhabi Global Market (ADGM). Moreover, Coinbase also issued and distributed the first debt instrument on the platform in preparation for entering the Abu Dhabi Global Market (“ADGM”) RegLab sandbox.

Analyst QuickTake: This news marks Coinbase’s first foray into the real-world asset tokenization space, which has seen growing interest within the DeFi industry over the last three months, as a number of large players, such as DTCC , Fireblocks , and Wellfield , recently bolstered their presence with new acquisitions and solutions. Specifically, DTCC acquired Securrency for USD 50 million , Fireblocks acquired Blockfold for USD 10 million , and Wellfield launched a tokenized gold trading platform . Moverover, the space has also seen growing investor interest, with startups such as Untangled Finance , Ostium Labs , and GenTwo collectively raising over USD 30 million.