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In Options Trading, How Does a Public Blockchain Enable Tokenization of Assets?

Tokenization is the process of representing real-world or digital assets as tokens on a blockchain. In options trading, underlying assets like stocks or commodities can be tokenized, allowing fractional ownership and easier transfer.

This token can then be used as collateral or the underlying for a decentralized option contract. Tokenization enhances liquidity and accessibility by lowering the barrier to entry for traders globally.

In What Ways Can a Traditional Financial Derivative Be Tokenized on a Blockchain?
What Is the Primary Risk Associated with a High Concentration of Governance Tokens?
How Can Tokenization of Underlying Assets Improve the Efficiency of Derivatives Trading?
What Is the Significance of Tokenization in Decentralized Options?