CZ Backs Tokenizing All Assets to Boost Foreign Investment
CZ, the founder of Binance, has endorsed tokenizing all assets to boost foreign investment. In a recent post on X, CZ argued that any nation or corporation seeking to raise capital could benefit from issuing tokenized shares to a global investor base.
The process of tokenization converts ownership rights of physical or financial assets into digital tokens on a blockchain, enabling fractional ownership and broader market access. This approach could significantly lower barriers for international investors, allowing them to participate in markets that were previously inaccessible due to regulatory or logistical hurdles.
CZ acknowledged a key challenge: liquidity fragmentation. If tokens are issued on multiple chains, trading volumes could become dispersed, reducing market efficiency. However, he suggested that this issue could be mitigated if tokens are easily exchangeable across different platforms, regardless of the issuing entity.