Synthetic Dollars to Rise with Tokenized Assets, Says Dragonfly's Tom Schmidt

Tom Schmidt, General Partner at crypto venture firm Dragonfly, believes that synthetic dollars will grow alongside tokenized assets. He made this case at Korea Blockchain Week 2026 in Seoul, where he argued that the expansion of real-world assets (RWAs) on blockchains and synthetic dollars are connected stories.

According to Schmidt, more tokenized ingredients mean more possible recipes for building dollar-pegged products. This is because bonds, funds, and other traditional instruments living on-chain would increase the toolkit for building such products.

Dragonfly has a stake in this observation as it invested in Ethena's synthetic dollar protocol, USDe, back in 2023.