Bank of America Forecasts Transformative Role of Tokenization in Finance According to a recent research report by
Bank of America (BofA), tokenization can revolutionize financial
and non-financial infrastructure and financial market
s in the next five to 15 years.
The report highlights
the transformative power of tokenization and its wide-ranging implications
for various sectors.
Tokenization, an application of blockchain, involves converting real-world assets or rights
into digital tokens on a blockchain network. These tokens represent ownership, value, or other rights, enabling secure
and transparent asset tracking and transfer.
Bank of America's Cryptocurrencies Research Team believes we are on the verge of a transformative infrastructure revolution
that will redefine value transfer, settlement, and storage across
all industries.
Released on June 29, BofA's research report emphasizes that tokenization could reshape
how assets are managed and traded over the next decade. This technology has
the potential to enhance efficiency, increase liquidity,
and reduce transaction costs across a wide range of markets.
