Coinbase rolled out a smart contract-powered platform Project Diamond designed for institutions to seamlessly create, buy, and sell digitally native assets.

Coinbase and Coinbase Asset Management announced the launch of Project Diamond – a smart contract-powered platform – along with the execution of the first debt instrument, in preparation for entering the Abu Dhabi Global Market (“ADGM”) RegLab sandbox.

According to the press release, the platform was “designed by seasoned asset managers for institutions to seamlessly create, buy, and sell digitally native assets.” The platform leverages the Coinbase technology stack and Base – its Ethereum layer-2 blockchain with a bridging function, built with the help of Optimism’s OP Stack.

The first digital debt instrument on the Project Diamond platform was successfully issued, distributed, and matured in November. Namely, the digital discount note, denominated in USDC, was transacted within a single application at near-instant settlement speed on Base. The issuance was a technical demonstration of feasibility for the Financial Services Regulatory Authority, as Coinbase’s project prepares to join the ADGM RegLab sandbox.

The ADGM RegLab is a specially tailored regulatory framework providing a safe and regulated environment for FinTech participants to develop and test innovative solutions.

It is expected that initial use cases for the Project Diamond platform will be developed for registered institutional users outside the U.S. only.