The Promises and Perils of Private Asset Tokenization

Blockchain’s transparent and immutable ledger allows token holders to access real-time information about their investments, fostering greater transparency in traditionally opaque markets. This visibility is a game-changer for monitoring cash flows and performance of credit portfolios, although tokenization does not alter the underlying characteristics of the instruments. Whether on-chain or off-chain, assets’ underlying risks, and the importance of due diligence, remain the same.