Frequently Asked Questions
Asset-backed token development involves creating digital tokens that are backed by real-world assets such as real estate, gold, commodities, or fiat currencies. These tokens represent ownership or rights to those underlying assets, providing tangible value in the crypto space.
Asset-backed tokens are backed by physical or financial assets, offering stability and intrinsic value. In contrast, utility tokens are primarily used to access products or services within a specific platform and typically do not represent ownership of real-world assets.
Common asset types include real estate, precious metals (e.g., gold), art, commodities, fiat currencies, bonds, and even intellectual property. The backing asset must be verifiable and legally recognized.
- Reduced volatility compared to typical cryptocurrencies
- Greater trust and transparency
- Real-world value and utility
- Improved liquidity of traditionally illiquid assets
Yes, but it depends on the jurisdiction. Developers must comply with securities laws, KYC/AML regulations, and relevant asset custodianship rules in the countries they operate in.