Joseph Chalom, Head of Strategic Ecosystem Partnerships at BlackRock, expressed that the adoption of tokenization by institutional investors has been slow, but it has huge implications for the financial industry.

During an event in New York, Joseph Chalom noted that most expected tokenization to spread faster. However, in the long run, this technology could completely reshape the financial industry

He stressed that collaboration with quality entrepreneurs and the creation of a robust infrastructure is necessary for the tokenization sector to grow organically, and the application of this technology will be encouraged by the market itself, minimizing the expectation of legislation and funding.

Chalom states that BlackRock is actively discussing tokenization of various assets with both traditional and cryptocurrency clients. However, he calls for prioritizing the real-world application of the technology in everyday life.

Interestingly, a senior BlackRock official takes a more skeptical view of institutional players' adoption of decentralized finance (DeFi). He highlights concerns about the potential for financial crime and the difficulty of identifying customers as major hurdles. At the same time, the prospects for smart contracts and liquidity pools remain strong. It is worth noting that last week BlackRock applied to launch a bitcoin ETF.

August 4