We should be tokenizing assets with substance, not speculation 

Standard Chartered’s recent prediction that the tokenized RWA market could rise to $30.1 trillion by 2024 will likely fuel the crypto industry’s hankering to tokenize everything it can lay hands on. And with BlackRock spearheading the charge, there’s no chance of a slowdown any time soon.

But caution must come. If we tokenize all assets in a speculative rush, the risk of creating illiquid markets and trapped value will manifest on a large scale. The result? More volatility and less external capital flowing into Web3. 

Most RWA projects are all fighting for the same liquidity pools, which aren’t as big as perhaps first perceived. It’s red pond syndrome. The RWA industry needs…

Read more on Blockworks

59.2K Reads