BNB Chain shows no code real world asset token service
BNB Chain has unveiled a new real-world asset tokenization service that provides a code-free solution for individuals and businesses to virtualize real-world assets in “minutes”.
According to the announcement, the new service will streamline the asset tokenization process with built-in compliance tools and clear guidance in each step of the tokenization process – including asset collateral and onchain tokens.
Outsourcing the tokenization process to BNB Chain's tokenization solution greatly reduces the cost, time and effort required to publicize assets – lowering the barrier to entry for small businesses looking to use real-world asset tokens.
A simple graphic showing the asset tokenization process. Source: BNB Chain
Tokenization of physical assets offers a number of benefits to businesses, including ownership of assets such as art, securities, collectibles and carbon credits. Tokens can create cost efficiencies on customer loyalty and reward programs to encourage consumer engagement.
Related: Singapore Revamps Asset Tokens With New MAS Framework
Real-world asset tokenization: A key use case for crypto
BNB Chain's new token solution is one of several initiatives focused on bringing real-world assets onchain – a market sector that could include $600 billion in assets under management by 2030.
Nowhere else is the growing trend in real-world asset tokenization more evident than in the stablecoin market. In the year On October 29, 2024, the US Treasury Department highlighted that stable coin issuers are increasing demand for US debt.
In particular, Statcoin companies are buying US Treasury bills and other short-term currencies to back their digital fiat tokens – boosting demand for US dollars against sovereign dollarization efforts that hold US debt.
In the year In early November 2024, the Monetary Authority of Singapore (MAS), the SWIFT interbank messaging system, the word network ChainLink and the banking giant UBS announced the successful completion of a pilot program to test a tokenized fund agreement between institutions.
The pilot program introduced transactions organized in fiat currencies or non-blockchain funds, opening the door for traditional financial institutions to use tokenized assets without having to hold any cryptocurrency.
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