# The Spout Solution

Spout brings regulated financial assets on-chain via:

* Permissioned token standards (ERC-3643 + ERC-725/735)
* KYC-gated smart contracts and identity-verified wallets
* 1:1 asset backing with daily NAV and proof-of-reserve attestations
* Privacy-preserving transactions via Trusted Execution Environments (TEE)
* ERC-20 compatibility for full DeFi composability

This architecture allows Spout tokens to behave like any other crypto-native asset—usable in vaults, collateralized strategies, and lending protocols—while preserving compliance and asset-backing guarantees.