What are tokenized assets? Learn more in one article!
Hey, did you know? There is a cool thing called tokenized assets. Simply put, it is to turn various assets in our real world, such as money, houses, gold, etc., into digital tokens on the blockchain. Why do we do this? There are many benefits! For example, transactions can be settled faster, just like when you buy something online, you can complete the payment and receipt immediately. And the information of assets is more transparent, just like there is a super ledger, everyone can see it, and there is no need to worry about being cheated. It can also make assets that were difficult to trade before, such as large villas, now available in small pieces to buy and sell, so that more people can participate in investment.
A great collection of tokenized assets
1. Stablecoins: The “stability” of the digital world
Stablecoins like USDT and USDC are like the "stabilizing force" in the blockchain. They are pegged to fiat currencies such as the US dollar and have a very stable value. For example, when you travel abroad, you can use USDC to pay for hotel bills, which is convenient and you don't have to worry about large fluctuations in exchange rates. In addition, on some decentralized financial platforms, you can use it as collateral to borrow money.
2. Tokenized funds: a new way to invest
Imagine a fund that runs entirely on the blockchain, like what Arta TechFin is doing. Investors can trade fund tokens as easily as buying and selling cryptocurrencies. Not only is the transaction fast, but it is also super transparent, you can clearly see how the fund is performing, and diversifying your portfolio is as easy as building blocks.
3. Tokenized debt: Borrowing and repaying money is smarter
Debts such as corporate bonds and government securities can also be tokenized. Siemens has issued tokenized digital bonds. Investors can buy and sell bonds on the blockchain, and interest payments and redemption at maturity are all automatically completed by smart contracts, just like having an intelligent butler, without the intervention of traditional financial intermediaries, which is efficient and convenient.
4. Tokenized commodities: making investment accessible
Commodities such as gold and oil have also entered the era of tokenization. For example, Paxos' Pax Gold (PAXG), one PAXG token represents the ownership of one ounce of gold. You don't have to actually buy a piece of gold to keep at home, you can trade gold on the blockchain, the investment threshold is greatly reduced, and the price is transparent, and the market fairness is also guaranteed.
5. Tokenized real estate: real estate investment made easy
The RealT platform tokenizes real estate and divides a large house into small shares, just like cutting a large cake into small pieces. Investors can easily buy and sell these shares. Investing in real estate is no longer the exclusive domain of the rich. Liquidity has also become stronger, and it is easier to exit the investment. The property ownership record is also safe and transparent.
6. Tokenized carbon credits: helping the environment
In the fight against climate change, carbon credits have also been tokenized. The Hong Kong Monetary Authority and other institutions have jointly explored carbon credit projects, which use blockchain to allow carbon credits to be traded like ordinary commodities. This can encourage companies and individuals to reduce emissions, make the carbon market more transparent and efficient, and contribute to the protection of the earth.
7. Tokenized Artworks and Collectibles: Where Art Meets Technology
When an artist releases an NFT of a new album, collectors who buy it not only own unique digital assets, but may also share in the profits from album sales and participate in exclusive events. It is like having a ticket to a new world of art. The transaction of artworks and collectibles is more convenient, artists and collectors can benefit from it, and the market is more vibrant.
Chainlink: A powerful tool for tokenized assets
However, for tokenized assets to develop well, some infrastructure support is needed, and Chainlink is one of the "superheroes". It is like a universal toolbox that provides various services. For example, it can ensure that tokenized assets are traded safely and smoothly between different blockchains, just like building a solid bridge between different islands. It can also verify whether the asset reserves are safe, just like putting a solid lock on the assets. Through it, asset managers can build and manage tokenized asset products with more confidence, and investors can also participate in investment with more peace of mind. In short, Chainlink escorts the development of tokenized assets and makes the entire ecosystem more prosperous and stable.
