Blockchain Tech is allowing us to tokenize the world. From real estate to ownership in all public equities, private equities and debt. ** **
First let's take a quick look at the figures of actual market sizes. There is a strong argument to be made around tokenization of assets.
Tokenization will greatly reduce administrative costs in their industries. Possibly more than banking and money transfers for BTC.
Bitcoin and cryptocurrencies are still a tiny market compared to other giant markets. If it disrupts all money in the world, it would swallow a 90 trillion dollar market including all cash, money market accounts, saving and checking accounts globally. But where would BTC prices be then?
If we argument that BTC is also a store of value like Gold with about $10 trillion marketcap or Silver with a marketcap of $17 billion, bitcoins would become a $100 trillion network. So lets do the math: if theoretically all 21 million BTC were still in existence and the bitcoin network reaches $100 trillion in network value: 1 BTC = $4.7 million. Thats an price increase of 750x from today's price at around $6600. Although we still do not know if BTC will reach its full potential, i am very bullish on BTC.
While Bitcoin is disruptive, tokenized securities are a much larger opportunity. Capital formation is one of the major forces to drive disruption through blockchain technology.
Lets take another look at the numbers:
We can conclude that the size of asset ownership is much larger than the global money supply. We are now in the beginning of tokenizing asset ownership with blockchain technology.
The benefits of such technology are: 24/7/365 worldwide markets, fractional ownership, rapid settlement, reduction in direct costs, increased liquidity and market depth, automated compliance, asset interoperability and expansion of the design space of security contracts.** **
This will provide a key foundation for the evolving financial internet and set the new standard of post-ICO, crypto-based fundraising and will be used to tokenize the trillion dollar asset markets. Digital security offerings are going to be the new financing tool that will flood the markets with cheap capital. Investors will have the benefit of gaining access to assets which were previously reserved for the ultra-wealthy and well-connected.
In the 1980s we went from open outcry markets to electronic markets, reducing friction and increasing velocity. The next logical step is the digital age of securites with the power of blockchain techology! It will be fascinating to watch this develop.
I am supporting CONDA in its efforts of building the CRWD Network, which is a decentralized network protocol for issuing and managing tokenized equity offerings of SMEs, Start-ups and Real Estate Projects.
Lets make it happen with CONDA: Be a part of the financial future!
Chaturange has extensive knowledge in IT infrastructures and IT security in the sectors Investment Banking, Government, University/Academics & Health Care. He has worked as Project Manager/System Engineer and has proficiency in analyzing network protocols, planing IT infrastructures and leading IT related projects.
In addition, he has been working as IT consultant for several companies. He is able to conduct large scale projects via IPMA guidelines. Furthermore he was attending IT security/hacking/crypto conferences for the last couple of years and has been a member of the space.
Chaturange has a big network of crypto/blockchain people, traders and IT security experts. For the last 3 years he has also been studying traditional financial markets, the crypto markets, learning the art of technical analysis, was improving his trading and deepening his knowledge about blockchain & cryptocurrencies and investing in projects like NEO (formerly know as ANTSHARES) ADA or just recently FANTOM.