Polkadot establishes capital markets division 'Polkadot Capital Group' to connect traditional finance with Web3

Polkadot announced the establishment of Polkadot Capital Group, targeting the tokenization of physical assets and institutional clients, with the intention of promoting the evolution of market infrastructure. (Background: Polkadot founder Gavin Wood confirmed that the JAM protocol will not issue new tokens) (Additional background: Polkadot founder Gavin Wood's first speech in Taiwan) JAM builds a Web3 cloud, and Ethereum is just an outdated product from the past. The blockchain Polkadot announced on the 19th the establishment of its capital markets division, Polkadot Capital Group (PCG), at a time when the U.S. regulatory roadmap is becoming clearer and institutional demand for digital assets is rapidly increasing, advancing traditional financial layouts further. PCG Launch: Aiming for Institutional Entry Timing PCG is headquartered in the Cayman Islands, led by David Sedacca, who has long served institutional investors. Sedacca pointed out that the primary task of the department is to assist asset management companies, banks, venture capitalists, and OTC platforms to seize digital asset opportunities while simultaneously promoting the evolution of market infrastructure. "Knowledge dissemination and infrastructure upgrades will determine whether institutions are willing to truly adopt blockchain." Although PCG is based offshore, the team maintains a high degree of attention to U.S. market dynamics. The reason is straightforward: regulatory easing and compliance guidelines are becoming increasingly clear, which significantly reduces the barriers for large institutions to enter. RWA Growth Momentum and Stablecoin Legislation as Dual Engines There are two major potential driving forces behind the establishment of PCG. The first is the rapid expansion of real-world asset tokenization (RWA). By putting traditional assets like real estate and bonds on-chain, liquidity can be injected into assets that originally had poor liquidity, and settlement time and costs can be reduced through smart contracts. The second is the continuous good news from the regulatory front. The recent passage of the GENIUS stablecoin act in the U.S. provides a clear framework at the federal level, directly lowering compliance barriers for institutions regarding stablecoins and other tokenized products. At the same time, the House's promotion of the crypto market structure bill also gives the market a glimpse of future policy predictability. A New Financial Paradigm with Opportunities and Challenges In the future, multi-layer solutions like asset tokenization, DeFi, and staking services are expected to further proliferate under regulatory cooperation. However, challenges are equally clear: technological integration takes time, compliance details remain complex, and financial institutions must adjust their long-standing operational and risk control mindsets. Sedacca believes that for the market to successfully cross these thresholds, the industry must continue education, standardize processes, and maintain dialogue with regulatory bodies. According to CoinMarketCap data, Polkadot currently has a market capitalization of approximately $6 billion, ranking 24th in the global blockchain space. However, this cycle has not received much discussion, and the price performance has also been less than ideal. The establishment of PCG can be seen as a milestone for Polkadot to officially incorporate capital market services into its landscape. However, the market challenges are also significant; whether PCG can attract large institutional collaborations will be one of the focal points for observing whether Polkadot can regain its former glory. Related reports Let TikTok go on-chain! Reddit founder joins bidding team: using Polkadot to promote decentralization Polkadot founder Gavin Wood: The Nakamoto coefficient of Polkadot is 149, far more decentralized than Ethereum and Solana As Polkadot plummeted 50%, founder Gavin Wood decided to switch careers to become a DJ? "Polkadot establishes capital markets division 'Polkadot Capital Group' to connect traditional finance with Web3" This article was first published in BlockTempo (the most influential blockchain news media).