I will make two somewhat complementary statements:
- Tokenization will disrupt trading
- Tokenization will not disrupt trading, until it fully integrates with IOT
The goal is basically pretty simple:
Any type of asset is going to be represented by a cryptographic token and can then be traded in a much simpler way using blockchain transactions.
The problem is hidden inside the simple expression is represented by, which indicates that their needs to be a reliable way to map a real world asset to a cryptographic token.
Of course, this could be done by some sort of legal agreement. Even an implicit and unofficial agreement could suffice, if it is backed by enough people – if trust is simply provided by an agreement accepted by all the people involved in a specific trading platform.
But this does not fit to the basic idea behind blockchain technology, where trust is (at least partially) delegated to a P2P network. It is also not really simple and reliable. Any such proceeding will remain somewhat shady and vague. It will remain human and thus prone to human insufficiency.
This is why I believe that an infrastructure based on things will be needed to path the way into a brighter, blockchain-driven trading future. But such a good infrastructure to empower tokenized trading is simply missing at the moment. There are countless concepts being developed right now. Many of them are pretty difficult to read and understand. They just lack the simplicity and clarity that would be needed to make them accessible for a broader and non technical audience.
Let me give a simple example: Any kind of “intelligent” door lock that is connected to the internet would do to solve many such trading problems. Cars, hotel rooms, safes could than be used for tokenized trading. Of course, there might be a lot of software that also still needed to be written. This software and its related interfaces needed to be standardized and commonly accepted. It can only work together what is designed to work together! All these concepts are under heavy development. But they are not yet ready for production, and of course, the details might still be unclear, so that only the future will show what will really happen.
If (in addition to such door locks) there were equivalent physical keys that might also be directly connected to a digital asset, than for example any public transportation could be “beamed” to the blockchain. No needed to by any train ticket, if you have such a key and enough money.
It is obvious, that this is distant future. It is science fiction, in a way. So how do we position ourselves in these times, where conditions are changing quickly, but not quickly enough to reach the goals that we can already envision?
For all parties involved, the way to go can only be: As much networking as possible. We just have to find out what is already present. Who is working on what technology? Who knows more that we do? Who is willing to help and open doors?
In the end this will be a joint effort. It sure will need all the countries in the world to be involved. Such topics can no longer be handled by a single company, or even by a single nation. Maybe some day, there will be something that supersedes nations and companies, a new entity that fits better to the challenges of the 21st century.
I cannot tell you how it will happen or when it will happen. But you can be sure of one thing: It will happen!