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Wednesday, December 4, 2019

Words on #Tokenization, @GbtTechnologies


Words on #Tokenization, @GbtTechnologies



Clearly, the wave to tokenize everything is coming. Now, the question is: “What will you buy first?”


A brief explanation on the subject: Bitcoin was introduced to the world in 2009, this brought the first cryptocurrency that would level up the distributed ledger technology to offer a decentralized digital landscape. Hundreds of crypto-currencies have emerged since then.

What is a Token: A token is a tradable digital representation of an asset on top of a blockchain. Tokenization stands for the process of converting real-world assets into a digital representation of itself that can be stored on a blockchain. This means that tokens can represent a very diverse set of assets ranging from physical, crypto or otherwise, including real estate, artifacts, intellectual property, and company shares.

There is an untapped market of $256 trillion worth of real-world assets waiting to be tokenized.


If we already have a structured economy and a trading system that has worked for centuries, why change? Assets these days are time-consuming and expensive, not within everybody’s reach due to high costs and prices that accompany them. By tokenizing them, you place a value for each token that makes up the asset.

For example, if a tokenized piece of art is worth 200,000 tokens, and the opportunity to invest is open, you may have the opportunity to buy as many tokens as you like/can; securing your FIAT money, gold, silver or even stock using them as currency to purchase those tokens. You are buy a and you own a piece of it, the trade seems to have a positive ROI so you can always sell them at a better price or keepsake that piece of the Mona Lisa you just bought.

These are some expert opinions on tokenization:

  • Jesus Rodriquez is well known in the emerging security token industry, likely due to his background in finance, Distributed Ledger Technology (DLT), and Artificial Intelligence:

    “Whereas the pragmatist in me recognizes that we are still years away from having an infrastructure that allow us to re-imagine digital securities, there are immediate use cases that can catalyze the movement. From those use cases, I believe tokenized debt or cash flow offers a unique plethora of possibilities to unlock the potential of security tokens.”

  • According to Illia Obraztov, VP of Technology at Smartlands, security tokens have staying power. However, it all depends on if certain conditions are met. These conditions are:
    “broader interoperability standards, better enterprise-grade blockchain integration, recentralisation to accommodate institutions, improved relationship between greater security and cost efficiency…”
    Some industries, like real estate, have the most to gain from tokenization. That’s where security tokens will first be felt.

  • On Social Media:
    In the winter of 2017, BANKEX successfully tokenized the first Instagram account. We celebrated the milestone and wanted to share the results of our efforts until we suddenly realized that people might not really know what “tokenizing an Instagram account” means. Maybe even you don’t quite grasp the concept. Don’t worry, not only will we explain what exactly that means, we’ll also show you just how impactful tokenizing your Instagram account can be at driving profits (that is, as long as you have at least 5,000 subscribers. 

  • “Think of traditional assets similar to that of mailed physical letters and tokenized assets to that of emails. Bitcoin first brought us programmable money and with that we are now discovering the power of programmable securities.” - Alec Ziupsnys

  • Clearly, the wave to tokenize everything is coming. Now, the question is: “What will you buy first?”

  • “With greater transparency, accessibility and liquidity, previously unattainable assets would become available to regular people all over the world. This in turn has the power to create and build wealth, and consequently improve people’s quality of life.” Paulo Campos

  • “About the subject of tokenization, the advantages are that unlike something like bitcoin, which is distributed a 100% to miners is a reward for kind of the game theory to keep things going with a metal token. That’s not the case. It can’t be used to pay for fees. And so there’s no reason to distribute it to miners and so you can basically create a token to do whatever you want…” Adam B Levine

Just remember and always take into account that the goal of token is to raise capital and/or promote a company.

A token can reward a customer by continuing to give back dividends. Tokens can be saved for future use with the company, and if the future use is good, such as an effective promotion or long-standing discount, the customer rewards are preserved and sustainable. A token rewards customers by justifying the faith the buyer has placed in your product in buying the token—so reward them well, with a token that is creative, engaging and generous.



About GBT TECHNOLOGIES, S.A
GBT Technologies, S.A., a private Costa Rican corporation (GBT -http://gbttechnologies.com) is a development-stage company in the business of the strategic management of BPO (Business Process Outsourcing) digital communications processing for enterprises and startups; distributed ledger technology development, AI development and fintech software development and applications. 

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