With the imminence of the regulatory framework for digital assets in different countries, including Brazil, tokenization has become a bet for several companies as the next revolution in the financial market.
It is about inserting an asset into the blockchain network to make a digital record. By creating fractions, it is possible to facilitate negotiations in a practical and more democratic way, from real estate, works of art, music royalties, to participation in football teams.
A Citibank study reveals that, despite slow adoption today, the trend is skyrocketing in the coming years. Research points out that the tokenized asset market could be worth $5 trillion depending on the degree of adoption of central bank digital currencies.
In addition to the great possibilities of the system for the economy, and the expected regulation, the opening of the Central Bank to the subject, driven by the development of Real Digital, also encourages the sector and encourages applications.
Another important signal from Brazilian regulators was the launch of a laboratory by the Brazilian Securities Commission (CVM) focused on the tokenization area. Central to the debate has been the classification of some tokens as securities.
In 2021, companies that traded tokens as securities received a stop order from the CVM. On the other hand, most exchanges are mature and operations are evolved in the country.
Large companies already work with safer offers, such as precatories or even CCBs. In this sense, even before the launch of Real Digital, scheduled for the end of 2024, banks and other financial institutions must already start with legally recognized operations and gain legal certainty to include crypto assets in their balance sheets.
With this expertise in the Brazilian market, combined with clearer rules, evolution tends to be natural and institutions start to plan their initiatives in the segment with more strength and solidity. This process increases the origination of the asset and makes life easier for the regulator itself, opening up even more space to explore tokenization.
Source: Money Times
