Tokenization Is Not Disruption — It's Infrastructure

Every major financial institution is exploring tokenization. Most are doing it wrong. They're treating tokenization as a product innovation — a new wrapper for old assets. In reality, tokenization is an infrastructure upgrade to the settlement layer itself.

The Infrastructure Thesis

Tokenization doesn't replace securities. It replaces the settlement infrastructure that processes securities. The asset stays the same — the execution environment becomes deterministic.

This is why my approach focuses on building settlement infrastructure first, asset wrappers second. The token is the least interesting part of tokenization. The execution environment is everything.

Implications for Institutions

Institutions that understand this distinction will capture the infrastructure layer. Those that treat tokenization as a product play will build on someone else's execution environment — and inherit their failure modes.