As long as tokenized assets remain under the control of state regulators and centralized intermediaries, tokenization will become only a new version of the “old financial infrastructure”, and not a monetary revolution. Tokenization involves the risks associated with liquidity problems, legal uncertainty and cyberosis. But the main risk of tokenization is excessive censorship, Tsey believes.
Most tokenized assets are available on controlled or semi -centralized blockchains. Therefore, authorities or outside intermediaries can impose restrictions and even arrest on these assets. Tokenized real estate or bonds are still tied to the state legal system, explained Jin.
“If the property or the company standing behind the token is located in the country with an unstable legal environment or political situation, then the risk of withdrawal of these assets is increasing,” said MexC top manager.
According to the June forecast of McKinsey & Co, by 2030 the market of tokenized assets will not exceed $ 20 trillion due to undeveloped financial instruments, gaps in legislation and regulation problems. The CITI investment bank has a more optimistic forecast. CITI believes that by 2030 this market will grow to $ 5 trillion.
Source: Bits
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