The Tokenizer has been around for almost three years now. Since the launch, we have focused on asset tokenization and security tokens and have been careful not to dilute The Tokenizer’s profile. Specialisation, in our view, is crucial, and the tokenization industry is big and vibrant enough to keep us occupied for the years to come.
By Michael Juul Rugaard, CEO & Co-Founder of The Tokenizer
If you analyse what a non-fungible token really is, it becomes clear that it is probably the most fundamental kind of token, and you can argue that any tokenization of non-fungible assets starts here. It begins with the registration of the asset, with the creation of a digital, blockchain-based deed, or as William Entriken, the lead author of the ERC-721 NFT standard, points out, with a notarization, which is a process that has been around in different forms for the last 500 years.
This is why NFTs are certainly related to asset tokenization in general. And the reason why they are also in line with security tokens is that certain types of NFT and specific ways of treating NFTs might eventually evoke regulatory interest and turn some NFTs into securities. This seems, in particular, to be the case of F-NFTs (fractionalised NFTs), but it’s too early to say for sure that all other types of NFTs are excluded.
NFTs raise a lot of tricky regulatory questions that could potentially severely impact the further development of the NFT space. That is why we intend to keep a sharp eye on the regulatory side of NFTs and spend time writing about and discussing these questions in the time to come.
The dominant use cases for NFTs still revolve around visual art, music, film and text. But contrary to most other NFT sites, NFT by The Tokenizer intends to provide complete coverage of the NFT space. NFTs are likely to start occupying many new territories soon, and in fact, this is already happening:
- NFTs as collateral for loans in DeFi protocols,
- NFTs as digital deeds for physical…
