Agrotoken partners with Tanssi to revolutionize agro-finance in South America using blockchain

Appchain infrastructure platform Tanssi announced on Tuesday it has teamed up with Agrotoken, a global tokenization platform for agricultural commodities, to introduce decentralized tools to transform the agrotech markets in South America.

This partnership aims to develop an innovative agro-finance solution using Polkadot technology, initially targeting the South American markets of Brazil and Argentina. Through this collaboration, Agrotoken will utilize Tanssi’s specialized appchain technology to create a blockchain-based system for collateralizing loans with tokenized grains.

The project involves sophisticated processes for tracking grain values, managing loan terms, transferring ownership, and handling repayment schedules—tasks that general-purpose blockchains struggle to perform efficiently. By leveraging its own appchain, Agrotoken can effectively digitize commodities and oversee their lifecycle with greater precision.

Agrotoken operates in major agricultural markets where agribusiness significantly contributes to the GDP, including Brazil (22%), Argentina (6.6%), and the United States (5.5%). Given the size and complexity of these markets, Agrotoken requires a reliable, scalable, and robust infrastructure—qualities inherent to Tanssi’s appchains.

“We are thrilled to collaborate with Tanssi due to their scalable infrastructure built on Polkadot and its straightforward implementation,” said Ariel Scaliter, CTO and co-founder of Agrotoken. “This partnership will allow us to explore natural resource tokenization with enhanced speed and flexibility.”

Agrotoken has already tokenized $70 million in cereals, equating to 230,000 tons of soybeans, corn, and wheat. As this activity scales, Tanssi’s support will be crucial for Agrotoken’s growth, ensuring optimal performance. Tanssi will provide essential infrastructure tools as a service, facilitating the launch of Agrotoken’s appchain with minimal effort, and will support block production along with key integrations such as oracles and wallets.

This collaboration represents the first agrobusiness use case within the Tanssi ecosystem, which operates on Polkadot’s Substrate framework. The project has already started with the deployment of Agrotoken’s appchain on Dancebox, Tanssi’s testnet, with plans to launch on Tanssi’s mainnet later this year.

Tanssi’s appchain infrastructure protocol is designed to simplify and expedite the deployment of appchains. Connecting a chain to Tanssi transforms it into a modular appchain, providing access to a developer-friendly and permissionless environment equipped with all necessary infrastructural components to run a chain immediately. Key features include a decentralized network of block producers for robust security and data retrievability, along with seamless integrations with essential tools such as bridges, wallets, block explorers, RPC endpoints, indexers, oracles, and more.

Agrotoken stands as the first global real-world asset tokenization infrastructure, using blockchain to enhance the management and trading of real assets, thereby advancing efficiency and transparency in the agricultural sector. Founded in Argentina in 2020, Agrotoken focuses on two main areas: Agrotoken.platform, the world’s first commodity digitalization platform, and Agrotoken.labs, which creates tailored solutions for clients within the agricultural industry.