BlackRock: Tokenization will shape a new development stage in the global market, and future digital wallets will hold and trade various assets

Larry Fink, CEO of BlackRock, and Rob Goldstein, COO, wrote in The Economist that tokenization is shaping the next phase of global market development by modernizing infrastructure through the connection of traditional finance and digital finance, thereby enhancing efficiency, transparency, and accessibility.

Tokenization can replace paper documents with code, reducing the friction that leads to high and time-consuming transaction costs for assets, transforming large illiquid assets (such as real estate or infrastructure) into smaller, more accessible units.

The current stage of tokenization is roughly comparable to the period before the establishment of three companies among the "Tech Giants," with a development speed that rivals that of the internet and the potential for significant growth over the coming decades, where various types of assets can be bought, sold, and held through a single digital wallet.