Expand participation:
Improve fractionalization to allow a long tail of investors at any capital level and anywhere in the world.
Reduced settlement times:
reduced transaction times, potentially by permitting 24x7 trading. Smart contracts triggered by predefined parameters can instantaneously complete transactions and reduce settlement times to real-time transactions. Real-time settlement can minimize counter-party risk during the transaction and the possibility of trade breaks.
Infrastructure upgrade:Â
For many asset classes, fundraising and trading remain slow, laborious, and require an exchange of paper-based documents. By tokenizing it, efficiency in these markets can be vastly improved, with effects amplified in areas with a non-existent traditional infrastructure.
Expand collateral options:
The tokenization of new asset classes will expand the available and acceptable collateral range beyond traditional assets. Collateral management globally may be more efficient, transparent, and relevant in new asset classes.