4 tips and tricks of Asset Tokenization: How to Tokenize Real-World Assets Like Company Shares

4 tips and tricks of Asset Tokenization: How to Tokenize Real-World Assets Like Company Shares

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Jul 11, 2023

Jul 11, 2023

Blockchain technology certainly has its fair share of buzzwords. If you’ve been following the developments keenly,  you have undoubtedly heard the phrase “asset tokenization”. 

And our guess is that you’ve not only heard about it but also read about it and seen ads for services about it. 

This phrase is a new buzzword that the cryptocurrency community is using to tout a new “token economy” in which traditional assets such as company shares can be digitalized through blockchain. Asset tokenization has other similar words include tokenization of illiquid assets, asset-backed tokens, security tokens, and tokenization of company shares. 

Like most buzzwords, however, many of us don’t know what asset tokenization means and what benefits brings to companies.

Asset Tokenization – Buzzword or Opportunity?

Tokenization is the process of issuing a token that digitally represents tradeable assets. Any asset with real-world value such as art, commodities and real estate is tradeable once it is converted into a digital representation in the form of a token. These tokens are issued through security token offerings (STO) and