The Evolution of Tokenization: A New Era for Advisors
In this article, Marcin Kazmierczak from Redstone explores the evolution of tokenization, highlighting the shift from concept to allocation and the key considerations for advisors. The growth of tokenized assets has been significant, with major companies like BlackRock, Franklin Templeton, and Fidelity Investments launching blockchain-based products. However, the real challenge lies in compliance, identity, transfer rules, sanctions, and lifecycle management. The report 'Tokenization & RWA Standards 2026' sheds light on how these systems are being built, and the importance of compliance architecture in determining asset behavior. Institutional capital is moving on-chain, with deposits of tokenized real-world assets in DeFi lending protocols surpassing $840 million. Advisors must understand the implications of tokenization on risk, opportunity, and portfolio allocation. In 'Ask an Expert,' Kieran Mitha addresses investor questions about tokenized investments, discussing the need for interoperability, regulatory clarity, and the potential for tokenization to become a standard layer in global capital markets.