- •Tokenization is shifting from narrative to execution. At TOKEN2049 Singapore, Ondo, xStocks, Dinari and Cumberland DRW emphasized that the age of abstract vision is over. What matters now is the legal structure behind every token, the operational reliability of its issuance, and the market mechanisms that keep it alive. The conversation reflected how the concept has matured from innovation rhetoric into a multi‑disciplinary engineering challenge.
- •Compliance and liquidity have become the defining factors for survival. Projects that cannot prove one‑to‑one asset backing or sustain active markets will inevitably fade. The next phase of growth depends on trust frameworks, licensed custodians, and institutional‑grade market depth capable of attracting mainstream capital.
- •The future of tokenization will be diverse rather than unified. There will not be one global standard but a network of interoperable systems aligned with regulation. Across compliance, automation, and liquidity, the new generation of tokenized assets is rebuilding how financial value exists and moves on‑chain—quietly transforming traditional finance from within.
At the second day of TOKEN2049 Singapore, the panel titled “Solving Tokenization” became one of the most anticipated discussions. On stage, four companies—Ondo Finance, xStocks, Dinari, and Cumberland DRW—stood for the four critical dimensions of tokenization: asset design, regulatory compliance, intelligent automation, and market liquidity.
Although “tokenization” has been a buzzword in the industry for years, this session made it clear that the concept is still being redefined. Turning ideas into execution now requires not just technological innovation, but also coordination across law, finance, and regulation.
TRUST AND COMPLIANCE AS THE FIRST GATE
Ondo Finance brought the focus back to fundamentals: trust. Tokenization, they argued, is not about putting assets on‑chain—it’s about ensuring those assets are real, auditable, and legally enforceable. Ondo’s model tokenizes U.S. Treasuries and money‑market funds while maintaining a one‑to‑one backing through regulated custodians.
This “compliance‑first” approach trades speed for legitimacy. Rather than chasing fast adoption, Ondo focuses on building structures that can survive regulatory scrutiny. For its team, tokenization is not a marketing narrative but a financial engineering problem—finding equilibrium between blockchain efficiency and legal accountability.
XSTOCKS: THE TRANSITION LAYER FOR TRADITIONAL INVESTORS
xStocks brought the discussion closer to user reality. The team believes mass adoption will depend on compatibility with traditional systems rather than on replacing them.
Their platform uses a dual‑layer design: licensed custodians manage registration and settlement off‑chain, while the blockchain layer handles tokenized representation and distribution. The result is a hybrid structure that keeps assets compliant yet verifiable.
xStocks aims to make the blockchain invisible. Investors can trade tokenized securities just as they would ordinary stocks—without thinking about wallets or smart contracts. This invisible use of blockchain, they said, is the next phase of user‑centric financial design.
DINARI: MAKING ASSETS “BREATHE” ON‑CHAIN
If Ondo represents structural discipline, Dinari stands for experimentation. Its team wants tokenized assets to be active, not static—to automatically settle, distribute yields, and adjust risk parameters on‑chain.
Through asset‑backed tokens connected to stablecoins and automated yield models, Dinari is exploring a form of “financial automation.” Instead of merely mirroring traditional securities, they want assets that generate and manage their own cash flows through smart contracts.
This model challenges existing regulation, as its tokens blur the lines between securities and programmable money. Yet this experimentation moves tokenization from representing the real world to re‑creating financial logic itself.
CUMBERLAND DRW: LIQUIDITY DEFINES REALITY
For Cumberland DRW, one of the largest market‑making firms in the space, the success of tokenization will depend on liquidity. A token that cannot be traded, they argue, is not an asset—it’s a concept.
Many tokenized products fail because they lack continuous price discovery and market depth. Cumberland’s solution is to build liquidity frameworks that let tokenized instruments be priced, hedged, and traded with the same confidence as traditional ones.
Institutional investors, they noted, do not fear volatility; they fear opacity. Stable liquidity and transparent pricing are the real gateways for mainstream capital.
REGULATION AND CAPITAL: FROM CONFLICT TO COORDINATION
Across all four participants, one theme surfaced repeatedly: the shift from defiance to cooperation with regulators. In the early years, tokenization projects often positioned themselves as alternatives to the financial system. Today, the tone has changed.
Teams are engaging with regulators, applying for sandbox approvals, and designing compliant issuance models. Regulation is now seen not as a barrier but as a maturity signal. For capital markets, clear rules are the catalyst that converts curiosity into participation.
This transition marks tokenization’s move from a rebellious narrative to an institutionalized phase—less about disruption, more about reconstruction.
THE RISE OF A REALIST ERA
When the moderator asked whether a single global standard for tokenization would ever exist, the panelists collectively shook their heads. The future, they agreed, will be pluralistic and interoperable rather than unified.
Ondo focuses on legal structure, xStocks on usability, Dinari on automation, and Cumberland on liquidity. Together they outline four vectors of progress—compliance, connectivity, intelligence, and market depth.
Tokenization is no longer an abstract dream. It is being rebuilt piece by piece: trust structures, settlement systems, risk frameworks, and liquidity engines. These are not flashy headlines but real foundations—the quiet infrastructure that will define the next decade of digital finance.
CONCLUSION
The discussion at TOKEN2049 offered no sweeping promises, only grounded perspectives. The industry has moved beyond slogans like “everything on‑chain.” What remains is the slow, methodical work of integrating regulation, capital, and technology.
Tokenization’s turning point will not come from new code, but from collective pragmatism. It is not about overthrowing finance—it is about making finance visible.
When the applause faded and the lights dimmed, that realism felt like the most valuable progress of all.