Next-Gen Tokenization with Carlos Domingo
From Paper to Code: The Future of Tokenization with Carlos Domingo
Tokenization moved closer to the center of crypto’s narrative in 2025, as industry discussions increasingly focused on bringing real-world assets (RWAs) on-chain and using stablecoins as the settlement layer. In a year-end look ahead, the theme for 2026 was clear: the sector is shifting from experimentation toward a more regulated, tokenized future, where compliance, taxation, and capital efficiency matter as much as the technology itself.
The backdrop is familiar to traditional finance. For much of the 20th century, stock ownership meant holding a paper certificate, until operational strain culminated in the late-1960s “paperwork crisis,” when the New York Stock Exchange reduced its trading week due to backlogs. That history is being used as a parallel for why market infrastructure changes—and why tokenization is being pitched as one of the next major steps.
Proponents argue that tokenization can improve market function by enabling features that legacy rails struggle to support, including intraday liquidity, programmable collateral, and tighter integration with stablecoins, rather than being constrained by the traditional settlement cycle.
Across 2025 commentary, tokenization was framed as an enabler for moving large volumes of traditional assets on-chain. The core idea is straightforward: established asset classes such as equities and real estate can be digitized into tokens to allow 24/7 fractional trading, potentially lowering barriers for retail participation while improving liquidity options for institutional players. Tokenized shares were also cited as a way for startups to offer equity in a format that can be traded on digital platforms.
Stablecoins were repeatedly positioned as key infrastructure for this transition. As tokenization becomes more “inherently crypto-specific,” stablecoins are expected to play a central role in how tokenized assets are settled and used across on-chain financial applications.
The implications extend beyond investing. One concept discussed is asset-linked spending, where a wallet balance could draw not only from cash-like stablecoins, but from fractional holdings such as property tokens, gold reserves, or loyalty points to complete everyday purchases.
Traditional institutions and regulated ventures are also part of the picture. Libeara, founded by CEO Gwak and incubated by Standard Chartered’s SC Ventures, was referenced in the context of modernizing how claims on value are created and transferred—echoing earlier eras when capital formation relied on transferable paper claims. Separately, the view was reiterated that institutional tokenization could contribute to broader network growth, particularly if major players support always-on tokenized offerings.
The tokenization conversation is increasingly intersecting with other major tech shifts. In media and entertainment, industry expectations point to 2026 being shaped by tokenization that broadens access to media assets and AI-driven changes to production workflows, with regulatory and operational realities determining which models scale.
Meanwhile, crypto platforms continue to package on-chain activity into more accessible product surfaces. Bybit highlighted a revamp to Bybit Alpha aimed at helping users discover tokens and liquidity opportunities without leaving the Bybit app, reflecting a broader push to make on-chain markets easier to navigate as tokenized assets and DeFi tools converge.
- Why it matters: Tokenization is increasingly treated as market infrastructure, not a marketing concept—linking RWAs, stablecoins, and compliance into a single stack.
- What’s changing: The focus is shifting from novelty to execution: settlement efficiency, programmability, and regulated distribution.
- What to watch: How stablecoins, tokenized assets, and institutional participation fit together as on-chain finance expands into traditional asset categories.
