Davis Commodities Limited announced it is evaluating the creation of an ESG‑tokenized yield corridor linking Asia, Africa, and Latin America. The corridor would use its Real Yield Token ecosystem to embed sustainability certifications such as Bonsucro and ISCC into tokenized yield instruments, aiming to attract impact funds and institutional investors.
The initiative could unlock up to $1 billion in capitalization, deliver 50‑80 % efficiency gains in trade settlement costs, and generate more than $250 million in blended finance opportunities annually. Management said the project aligns with the company’s broader strategy to transition from a commodity trader to a tech‑enabled processor and digital finance innovator.
Davis Commodities reported a decline in revenue to $132.4 million for the year ended December 31 2024, down 30.6 % from $190.7 million in 2023, and a net loss of $3.5 million versus a $1.1 million profit in 2023. Operating margins were negative at –2.43 % in 2024, reflecting investment in new processing facilities and digital settlement infrastructure.
The company’s digital transformation includes AI‑driven commodity arbitrage, a high‑margin sugar processing plant, and blockchain‑based tokenization of commodity assets. It aims to reach $800 million in digital settlement throughput by 2028 and has explored a $2.5 billion digital commodity treasury model and a $30 million strategic growth initiative involving Bitcoin reserves and real‑world asset tokenization.
The rollout of the ESG‑tokenized corridor remains contingent on regulatory approvals, market conditions, and stakeholder feedback. Management highlighted that the project could enhance liquidity, improve transparency, and provide verified ESG exposure for investors.
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