Using digitized cow identities for collateralized lending—what an interesting experiment. Specifically, in July 2026, the Fazenda Engenho Velho farm in Paraná, Brazil, used 10 cows as collateral to successfully secure R$100,000 (approximately $19,400–19,600) in rural credit. • The 10 cows were valued at R$120,000 (approximately $23,300–23,500), with a collateralization ratio of about 1.2x. • The credit instrument used was CPR-F (Cédula de Produto Rural Financeira, Financial Rural Product Note). • The funds were issued by BMP Sociedade de Crédito Direto, and the debt rights were later transferred to Target FIDC. The transaction was officially registered on Brazil’s main exchange, B3. This marks the first time "tokenized livestock" has been formally registered as collateral on B3. How are these tokenized cows monitored? Each cow wears an AI-powered smart collar from Cowmed, which collects real-time data on health, behavior, rumination, location, and more. This data is hashed to generate a unique encrypted digital identity, which is tied to the credit contract and protected by blockchain technology. Lenders can remotely monitor the collateral continuously without frequent on-site inspections, significantly reducing the discount rates commonly seen in traditional livestock collateral (sometimes as high as 60%). From this, we can see: The core of this operation is: digital identity + data hashing + exchange registration. It’s not about turning cows into freely tradable NFTs or fungible tokens on a public blockchain. The key lies in real-time data support—banks can know the cows’ real-time status, whether they’re alive, where they are, and their health condition. The technical foundation is data hashing + B3 system registration. Currently, this is in a small-scale trial phase, and there are risks such as collar malfunctions or cow illnesses. The effectiveness of B3 system registration is also critical. It’s clear that for Real World Assets (RWA), digitizing and tokenizing assets like USD, US Treasuries, or US stocks is much easier, while scaling the tokenization of living assets like livestock will require much more exploration over time.