Tokenized markets collapse without multichain infrastructure

Tokenized markets collapse without multichain infrastructure

The post Tokenized markets collapse without multichain infrastructure appeared on BitcoinEthereumNews.com.

Disclosure: The views and opinions expressed here belong solely to the author and do not represent the views and opinions of crypto.news’ editorial. It’s safe to say the rush to tokenize trillions of dollars in real-world assets is on. BlackRock, the world’s largest asset manager, pushes further into tokenized funds after its BUIDL fund surpassed $2 billion. Nasdaq has filed with the SEC to begin trading tokenized securities. Meanwhile, companies like Stripe and Robinhood are building their own blockchain solutions. Summary The debate is no longer if capital markets move on-chain, but how — and flawed infrastructure could derail tokenization’s promise. With 50+ L2s and reliance on fragile bridges, liquidity is scattered, hacks are rising, and users face a fractured market experience. Private blockchains cut off liquidity and rebuild silos, echoing centralized risks like the Robinhood/GameStop saga. A horizontally scaled, natively interoperable system can unify liquidity, enable regulatory oversight, and provide the trust, efficiency, and transparency global markets need. The question is no longer if capital markets will move on-chain, but how. And the answer will determine whether tokenization revolutionizes global finance — or collapses into a broken, inefficient system. This “infrastructure debate” is not a technical footnote. It’s the central challenge that will define the future of on-chain finance. If we get it wrong, the promise of tokenization could collapse under its own weight. The coming split in on-chain finance Although promising, new dominant approaches to building financial plumbing are dangerously unstable and flawed. Sure, Ethereum’s (ETH) Layer-2 and Layer-3 roadmaps are innovative. But they’re examples of getting in step with technological progress, while simultaneously, they leave behind a patchwork of disconnected systems.  With over 50 L2s already out there, liquidity is becoming scattered across isolated ecosystems. The problem is that hackers love environments where movements between ecosystems rely…