Matrixport top manager: “Almost all assets will be tokenized in the next ten years”

Matrixport co-founder Cynthia Wu believes that in the next decade, almost every traditional asset will be tokenized or presented in the form of a non-fungible token.

As Cynthia Wu said in an interview with Cointelegraph, the tokenization of the main classes of financial assets, whether real estate, stocks or bonds, will significantly increase their liquidity. In turn, the demand for them will also increase. Matrixport’s top manager lamented that now NFTs are mostly associated with digital collectibles, and this is not conducive to the acceptance of collectible tokens among large private and public organizations.

However, it is worth noting that many companies are already starting to use blockchain and NFT at the corporate level. Recently, the Argentine airline Flybondi announced that it will issue tickets in the form of non-fungible tokens. In addition, in the spring, the pharmaceutical company CVS announced plans to use NFT to sell medicines in virtual pharmacies.

According to Cynthia Wu, financial institutions are really interested in tokenization of real assets, but they are reluctant to abandon legacy systems that have been used for many years. Wu noted that the current financial system is still far from taking NFTs seriously because they cannot be exchanged as easily as fungible or divisible assets. However, tokenization and blockchain can solve this problem.

“Blockchain is more efficient than legacy systems. Providing round-the-clock market access and the absence of intermediaries are the main factors that are quite capable of streamlining the financial system,” said Cynthia W.

Earlier, Circle CEO Jeremy Allaire expressed a similar sentiment, suggesting that asset tokenization will become increasingly popular in the near future.