Wednesday, February 28, 2024 1:02:47 AM
Asset Tokenization involves representing the ownership rights of real-world assets as digital tokens on a blockchain. “Asset tokenization” is a term for the use of smart contracts and blockchain technology to represent ownership or rights to an asset as a tradable, on-chain token.
Though it most commonly refers to the tokenization of financial or fungible assets, such as shares in a company or a quantity of gold, asset tokenization can hypothetically refer to the tokenization of anything possessing monetary value. As such, asset tokenization is among the most promising use cases for blockchain, with the upper bound of asset tokenization market size potentially encompassing nearly all of human economic activity—a dollar number
estimated to be worth well over a hundred trillion annually.
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