PANews, June 23 – According to a CoinDesk report, Ophelia Snyder, co-founder of 21Shares, stated that while tokenization can solve practical problems at the settlement and asset liquidity level, the crypto industry and traditional finance are currently "talking past each other" on the topic of tokenization. The bigger challenge lies in integrating blockchain assets with the existing systems of banks, brokerages, and asset management firms. Current discussions largely overlook the operational steps between trade execution and final settlement. Although blockchain companies have made progress in transaction throughput, they have yet to meet the broader needs of financial institutions in areas such as bookkeeping, compliance processes, regulatory reporting, and round-the-clock transaction risk management. Additionally, the third-party software vendors most institutions rely on have not yet completed system adaptation for blockchain-native transactions.

She believes the industry's biggest bottleneck is scale, not functionality. Tokenization projects work at a small scale but struggle to support the transaction volumes of U.S. capital markets. The regulatory and control requirements needed to move large amounts of digital assets on behalf of clients far exceed existing systems. Snyder outlined two paths: financial institutions build new software that integrates blockchain themselves, or existing vendors adapt new products. Both paths require lengthy cycles, and many institutions are still undergoing cloud migration. She expects the real challenges for the industry to emerge once institutions move beyond the pilot stage. If the current momentum continues, more substantive real-world implementations will appear in the coming years.