Asset Tokenization: Complete Guide
Learn how tokenization transforms traditional assets into digital tokens on blockchain, enabling fractional ownership and global accessibility.
What is Asset Tokenization?
Asset tokenization is the process of converting ownership rights of real-world assets into digital tokens on a blockchain. These tokens represent fractional or full ownership and can be traded, transferred, and managed digitally.
The Tokenization Process
Asset Selection & Valuation
Identify suitable assets and conduct professional valuation to determine token value and quantity.
Legal Structure Creation
Establish legal framework linking tokens to asset rights, ensuring regulatory compliance.
Smart Contract Deployment
Deploy blockchain smart contracts to create tokens with built-in compliance and ownership rules.
Token Distribution & Trading
Issue tokens to investors and enable secondary market trading on compliant platforms.
Types of Tokenization
Fungible Tokens
Interchangeable tokens representing identical ownership shares (ERC-20, ERC-3643)
Non-Fungible Tokens (NFTs)
Unique tokens representing specific assets like real estate properties (ERC-721, ERC-1155)
Benefits for Different Stakeholders
For Asset Owners
- Access to global capital markets
- Improved liquidity for illiquid assets
- Reduced issuance costs (50-70% savings)
- Automated compliance and reporting
For Investors
- Access to previously inaccessible investments
- Lower investment minimums (from $100)
- 24/7 trading capability
- Transparent ownership records
- Instant settlement
Educational Resources
Related Learning Topics
Ready to Start Tokenizing?
Transform your assets into digital tokens with Pedex's end-to-end tokenization platform