THE HIDDEN DANGERS & COSTS OF TOKENIZED ASSETS

Summary from the TLDR Crypto newsletter

Most tokenized assets trade in illiquid, fragile markets, creating a self-reinforcing cycle where shallow liquidity discourages participation. The first hidden cost appears in slippage, with tokenized gold showing striking differences versus traditional markets. Despite the promise to bring trillion-dollar TradFi markets onchain, liquidity as a prerequisite for composability has not been realized.