What Makes a Real World Asset Useful in DeFi When Tokenization is Not Enough

This story was originally published on HackerNoon at: https://hackernoon.com/what-makes-a-real-world-asset-useful-in-defi-when-tokenization-is-not-enough. For tokenized assets to become financial infrastructure every stage of its financial lifecycle must work well enough so that the next one can depend on it Check more stories related to web3 at: https://hackernoon.com/c/web3. You can also check exclusive content about #cryptocurrency, #tokenization-of-rwas, #finance, #real-world-assets, #tokenization, #tokenization-is-not-enough, #defi, #token, and more. This story was written by: @frankie-writes. Learn more about this writer by checking @frankie-writes's about page, and for more stories, please visit hackernoon.com. Tokenization is not enough for a real-world asset to be useful in DeFi; it must also have legal certainty, clear rules, and a well-defined financial structure. A tokenized asset's financial utility depends on its ability to integrate with other applications, have a credible liquidation route, dependable valuation, and stable liquidity.