What is
tokenization?

Tokenization is the process of transferring rights and obligations to an asset to a digital token. Tokens are created and managed via digital contracts known as smart contracts. A smart contract is software in which the rights and obligations of the token holder with respect to the respective asset are recorded and stored in the blockchain.

Why tokenization?

Any asset can be tokenized and thus take on the characteristics of a share:

- Cost efficiency
- Ease of investment
- Transferability
- Custodianship

To the products
The difference between cryptocurrencies and security tokens
Cryptocurrencies are digital currencies that can be used as a medium of exchange. Security tokens, on the other hand, are considered digital assets that are backed by real assets. Security tokens are subject to the provisions of securities laws and must be approved by regulatory authorities.
How sustainable is the blockchain?
tokenstreet relies on the Polygon blockchain, which uses a proof of stake mechanism. Polygon's Proof of Stake (PoS) consensus mechanism consumes significantly less electricity compared to the Proof of Work mechanism. Polygon's validators consume approximately 0.00079 TWh of electricity annually with an approximate continuous consumption of 0.00009 GW, which is significantly less than the energy consumption of large Proof of Work Blockchain networks (Bitcoin or Litecoin).
How does tokenization work?
A hash (digital fingerprint of a file) of the security or fund share is stored in the smart contract that generates the token. This links the token to the rights of the financial instrument. The token is provided on the Polygon Blockchain, which enables efficient and secure transfer of the shares.

What others say

"If your retirement is 20 years away? Why don't you have access to great long-term risk-adjusted returns?"

Verdun Perry - Global Head of Strategic Partners at Blackstone

"According to a 2021 survey, 73% of asset managers believe that non-accredited individuals should be able to invest in private markets to achieve better portfolio diversification."
Laurent Capolaghi - EY Luxembourg Partner, Private Equity Leader

"There are few teams with such outstanding potential as tokenstreet's."
Gunnar Ebner - Executive Vice President at Capgemini