TechFlow news, November 15 — According to Cointelegraph, Larry Fink, CEO of BlackRock, the world's largest asset management firm, recently stated that "tokenization of financial assets will be the next step forward." He explained that in the future, every stock and bond will have a unique identifier (similar to a CUSIP), all transactions will be recorded on a unified ledger, and investors will have their own individual identification.
Fink noted that tokenization will not only help prevent illicit activities but, more importantly, enable instant settlement, significantly reducing settlement costs for stocks and bonds. Additionally, tokenization could unlock personalized investment strategies and improve corporate governance by ensuring each shareholder can exercise voting rights accurately and in a timely manner.
Tokenizing real-world assets such as real estate, commodities, wine, or artwork means creating blockchain tokens that represent ownership, making it easier to trade these traditionally illiquid assets.
