Tokenization to unlock interoperability across payments, investments

During the TokenizeThis 2024 event, executives from Ripple and Stellar discussed the latest trends in tokenization, including the blending of payments and investments.

The lines between payment and investment assets are becoming increasingly blurred. In the near future, it may be possible to split a dinner and pay using shares of tokenized funds, a blend made possible by tokenizing assets.

Rob Durscki, senior director of tokenization at the Stellar Development Foundation, shared the prediction during the TokenizeThis 2024 event in Miami on May 9. According to him, the bridge between payments and investments will unlock new utilities across financial products. Durscki noted:

Tokenization is the process of converting rights or ownership of an asset, like real estate or stocks, into a digital token on a blockchain. This enables a digital representation of the asset, allowing for fractional ownership, increasing liquidity and making some financial products more accessible to small investors.

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