The tokenization of real-world assets is creating new business models

Highlights:
  • Experts gathered to discuss this topic on the first day of the ETH Santiago conference.

  • At the moment, there are several gray areas in the current regulatory framework.

Experts in the asset tokenization industry agree that it is important that there is a regulatory framework that supports this activity, which is on the rise. This is how he spoke at the ETH Santiago conference yesterday, September 23 in the Chilean capital.

He took the stage Adrian Joffrey, founder of Yelly.io; Daniel Pardo, CEO of WBuild.io; and Sergio Del Pino, representative of Open Vino. he remarked that Real-world asset tokens create new investment markets and business models,

To illustrate the concept, del Pino, whose company marks the production of wine, reported that it is Tokens in cryptocurrency networks that serve as proof of possession of something in the real worldThis, according to the trader, allows access to markets without the authorization of a third party, as is the case with traditional markets.

Pardo spoke along the lines of this statement. They have developed a platform to invest in real estate via tokens. It is said that this new model It allows people to diversify their portfolio without the need for investment funds. “There is no need for a third party to invest,” he stressed.

For example, Joffrey remarks that, thanks to these systems You can access “purchase fractions” of real estate worldwide,

Cryptonoticius announced in February 2021 that a Spanish real estate company was already implementing this business model.

For Uritia, the tokenization of real-world assets equates to the “democratization of investing.” According to him, it is because Anyone with a cryptocurrency wallet can buy this type of assetBeyond required KYC identity check.

What would be the ideal regulation for notional assets?

As mentioned at the beginning of this report, the participants of the ETH Santiago panel aspire to Establishment of a regulatory framework in favor of the industry,

They specify that This frame should leave less gray area, These inaccuracies are currently frequent because these are investments that can be made internationally. For now, the law on each token depends on each country. Description of Uritia: “If a real estate company builds in Chile, the law that the buyer must comply with is that of Chile.”