Tokenization adoption in Latin America could address systemic inefficiencies like high fees and complex regulations, per Bitfinex Securities. Real-world asset tokenization may enhance investor accessibility and trading opportunities, cutting issuance costs by up to 4% and listing times by up to 90 days. Tokenization could revolutionize finance, providing a direct link between issuers and investors.

Paolo Ardoino, CEO of Tether and CTO of Bitfinex Securities, believes tokenized financial products could unlock capital access for developing economies. Tokenization removes barriers to capital, offering more efficient and cost-effective access to higher-yielding products with regulatory approvals. Ardoino highlights how tokenized products can revolutionize capital access.

McKinsey predicts a potential $3 trillion market for tokenized securities by 2030 in the bull case, with $1.8 trillion in the base case. Latin Americans are increasingly turning to cryptocurrencies and stablecoins for financial stability, with USDC and USDt accounting for 39% of total purchases on Bitso in 2024. Stablecoins are becoming a popular “store of value” in the region.

Read more at Cointelegraph: Tokenization Adoption May Drive More Investment in LATAM Regions