Cristiano Ventricelli, Vice President for Digital Economy at Moody's Ratings, spoke about which blockchains institutional investors are interested in for asset tokenization.

Cristiano Ventricelli reported that large companies planning to implement asset tokenization are increasingly looking at the public blockchains Polygon, Stellar and Provenance, as well as the private blockchains Hyperledger and R3. Thanks to the transparency of public blockchains, investors can check whether bond issuers are meeting their contractual obligations, Ventricelli said.

Companies are realizing that tokenization can increase liquidity in a variety of investment vehicles, including real estate, venture capital, and private equity. Tokenization is especially beneficial for debt instruments, such as private credit. These tools benefit greatly from increased transparency, Ventricelli added.

“A critical condition for mass adoption of tokenization is interoperability between different blockchains. Assets must be easily transferred from one blockchain to another,” said a top manager at Moody’s Ratings.

Let us recall that recently the CEO of a large bank HSBC, Noel Quinn, called asset tokenization a good trading mechanism that is much more profitable compared to traditional trading methods.