Tokenized Equities May Not Benefit Crypto as Expected, Says Dragonfly Exec
- Rob Hadick from Dragonfly states that tokenized equities will enhance traditional finance (TradFi) with benefits like 24/7 trading.
- The US SEC is reportedly working on allowing blockchain-based stock trading on crypto exchanges, responding to institutional demands.
- Tokenized stocks currently represent only $735 million, or 2.3% of the total on-chain value of real-world assets.
- Hadick emphasizes that institutions prefer building their own blockchains for control over privacy and execution environments.
- Hybrid chains are favored by institutions, allowing them control while maintaining some permissionless options.
While tokenized equities could improve TradFi operations, the potential benefits for major players in the Ethereum ecosystem remain uncertain, according to Hadick’s insights at TOKEN 2049.
The SEC’s ongoing discussions about tokenized equities highlight a significant market shift, yet these stocks only account for $735 million of the overall asset value in this sector. (Source)
