BLACKROCK & RIPPLE'S HUGE TOKENIZATION NEWS! TRUMP PUSHES FOR CLARITY ACT TO PASS!

**Tony Edward** (0:05)
Hey folks, welcome into the Thinking Crypto Podcast, your home for cryptocurrency news and interviews. I'm your host, Tony Edward. On your way in, please hit that subscribe button, as well as the thumbs up button, and leave a comment below. If you're listening on a podcast platform, such as Spotify or Apple, or wherever you get your podcasts, be sure to follow and leave a five star rating. All right, folks, we have huge tokenization news, so check this out. BlackRock, Goldman Sachs, JPMorgan, Morgan Stanley, Ripple and 49 other firms have joined the UK's tokenization task force to develop live tokenization use cases across financial markets. So folks, the token economy is being built right before our eyes, and we've been talking a lot about this over the years. The capital markets, the economies and governments will all run on blockchain rails. Look at the names that are mentioned here, the biggest institutions in the world. You got banks, you got the major investment firms, you got stock exchanges, you also have crypto firms like Ripple working with these major institutions. So it's clear where the puck is heading, folks. And this is where you have to have the patience and have the macro view, because it's all still being built out. The legislation is still being rolled out. And obviously here in the United States, we're still waiting on the Clarity Act. But nevertheless, you see the early innings of the infrastructure being built here, and it's incredible. Let me give you some more details. So the United Kingdom could add as much as 33 billion British pounds or 44 billion dollars to its annual economic output by 2035 by becoming a leader in tokenized financial markets, according to a government-backed industry task force. The estimate appears in the first report from wholesale digital markets champion Chris Woolard, who was appointed by HM Treasury to help implement the government's digital market strategy. So isn't it incredible, folks, that governments that have their own digital asset strategy, in addition to the major financial institutions, everybody's moving the same direction here. So developed with an industry task force, the report sets out a 12-month plan to test blockchain in a financial transaction where securities are used to borrow cash. It also calls for the UK to issue its first tokenized government bond by the first quarter of 2027 So again, going back to the macro view, these things are going to take years to be built out, but this is where you want to take your bets on the respective blockchains that are getting adoption obviously by holding the respective coins. As mentioned, there's some big names here. The crypto names that are involved are Ripple, Circle, Coinbase, Kraken. You also have Canton Network and many more. Again, the Tradify names are Goldman Sachs, BlackRock, JPMorgan, Morgan Stanley, HSBC, UBS. Incredible what's being built here. So the roadmap attempts to move UK tokenization beyond isolated pilots and into live markets where securities can be traded, settled and used as collateral. The report said the task was now to move from pilots to scale and from ambition to action.
Ripple, which is listed among the Task Force industry members backed the initiative on Monday, saying on-chain funds, bonds and repo aren't experiments, adding that such instruments are already providing cheaper, better and faster than their legacy equivalents.
Incredible what's being built. I hope you see what's happening, folks. So send news like this to crypto skeptics, people who still don't understand what the blockchain technology is. Yes, we invest in the crypto tokens, but it's not about the tokens. It's about the underlying technology. The reason the tokens exist is because of the blockchain technology. And you have to understand how those work, how they're using cryptography, why they're different from the legacy system, and why, for the first time in history, you can bet on the protocol by holding the tokens. And that's an understanding that a lot of people don't have. They just read headlines, right? They get blinded by Trump is investing in crypto. Yes, he is, but Trump is also invested in stocks, right? I don't see them going crazy about stocks. The point is, there's an ethics issue, but that's for all assets, but don't miss the technology and what's being built here, or you will miss out on a massive opportunity and get left behind. So incredible what's being built, folks. It's just a massive, massive adoption. And speaking of tokenization, Wall Street transfer agents lobbied the SEC, warning that third-party tokens pose risk to market integrity. So essentially, the legacy folks are trying to work with the SEC to get the legislation right, because the SEC is going to be releasing tokenization guidelines soon, and plus you got the Clarity Act, which addresses some of this. So it's still being ironed out. You're going to see a lot of back and forth between these folks, and I believe they're going to figure it out. I believe the SEC is doing a great job under Paul Atkins. Obviously, Hester Perth is still there. So here's some details. As the competition to tokenize capital markets heats up, the debate over how stocks could move onto blockchain rails is making its way to US regulators. The Securities Transfer Association, a trade group representing transfer agents and its members, which include major Wall Street institutions, is urging the SEC to give preferential treatment to issuer-sponsor tokenized securities compared to tokens issued by intermediary firms as it develops rules for bringing traditional securities onto blockchain rails. The SDA argued in a letter to the agency that blockchain-based shares should be actual securities authorized by the underlying issuer and reflected in its official shareholder records rather than tokens created by unaffiliated platforms. So I think they do have a point here. We do have to figure out how this will all work because you can't just have third-party folks issuing tokenized versions of these assets and there's not necessarily a connection back to the issuer. So let's say it's Tesla and the company issues its respective stocks, but a company goes and buys that stock and then they issue a tokenized version. They have to figure out how it's all going to work and how the reporting and the pipeline is going to work, right?