The Bank for International Settlements (BIS) highlights how tokenizing real-world assets on blockchains is bridging crypto and traditional finance. This trend could reshape DeFi infrastructure and regulatory challenges.
- Tokenization of RWAs is erasing DeFi's 'self-referential' nature, integrating it with TradFi.
- BIS warns of unpredictable systemic risks if DeFi expands into banking and insurance sectors.
- Stablecoins' role in DeFi growth and their instability require urgent regulatory scrutiny.
📎 Related coverage from: dailyhodl.com
