The Future of RAYLS is Bright

ParaFi Capital and Tether both have a positive outlook on the Rayls project, primarily based on the following core reasons:

1. Unique Hybrid Architecture Design

Rayls adopts an innovative "Public Chain + Private Subnet" hybrid architecture, which has groundbreaking significance in the integration of traditional finance and DeFi. Its public chain layer enforces KYC verification to ensure compliance; the private subnet layer allows financial institutions to fully self-host, supporting local node deployment; atomic settlement between public and private chains is achieved through the Enygma privacy protocol. This design not only meets the strict privacy and compliance requirements of financial institutions but also connects DeFi liquidity, solving the biggest pain point of traditional finance going on-chain.

2. Strong Institutional Endorsement and Practical Implementation

Rayls has already received validation and adoption from heavyweight institutions, which is a key factor why ParaFi and Tether are optimistic:

- Central Bank of Brazil Endorsement: Rayls was selected by the Central Bank of Brazil to provide privacy solutions for its DREX central bank digital currency pilot project, marking its technology as validated at the national financial infrastructure level.

- Recognition by JPMorgan Chase: In JPMorgan's Project EPIC benchmark testing, Rayls ranked first in institutional financial privacy and was recognized as a top privacy blockchain in the institutional finance sector.

- Real Business Deployment: Brazil’s largest payment infrastructure Núclea has transformed its commercial accounts receivable into digital assets via Rayls, processing thousands of transactions weekly, with on-chain settlement amounts exceeding $50 million.

3. Tether’s Strategic Considerations

Tether’s investment goes beyond financial interests, reflecting its strategic intent:

- Latin American Market Expansion: Rayls’ parent company Parfin has deep industry resources and operational experience in Latin America. Tether aims to promote USDT adoption among institutions and in the region through this investment, expanding its influence in Latin America.

- Liquidity Injection: Tether will bring hundreds of billions of dollars in stablecoin liquidity to the Rayls platform, providing strong financial support and opening new application scenarios for Tether’s stablecoin ecosystem.

- Compliance Infrastructure: As the world’s largest stablecoin issuer, Tether needs to collaborate with compliant blockchain infrastructure. Rayls’ compliance-first approach and institutional-grade privacy solutions meet this requirement.

4. ParaFi Capital’s Investment Logic

As the lead investor, ParaFi Capital’s investment rationale is mainly based on:

- Industry Outlook: On-chain traditional financial assets represent a trillion-dollar market opportunity. Rayls positions itself as a compliant infrastructure connecting TradFi and DeFi, aligning with the industry’s trend toward institutionalization.

- Technological Moat: Rayls’ Enygma privacy protocol combines zero-knowledge proofs and fully homomorphic encryption, offering quantum security, which provides a technological advantage in the institutional blockchain space.

- Team Background: Founder Marcos Viriato previously served as head of Brazil at BNY Mellon and as a digital currency advisor to the Central Bank of Brazil. CTO Alex Nascimento led the development of Brazil’s Pix instant payment system. The team possesses deep experience in finance and payment systems.

5. Market Opportunities and Growth Potential

Rayls targets the market opportunity of on-chain traditional financial assets worth over $100 trillion, aiming to provide blockchain infrastructure for 6 billion banking users worldwide. The project has raised approximately $38 million, supported by top institutions including Mastercard, Framework Ventures, and Valor Capital. This is seen by the market as a "trust vote from Wall Street and Silicon Valley simultaneously."

Overall, the investments from ParaFi Capital and Tether demonstrate recognition of Rayls’ strategic positioning of "Compliance First + Institutional Deployment + Technological Moat," as well as a long-term optimistic view of the large-scale on-chain transformation of traditional financial assets. #Rayls