The post How Tokenization Is Solving 3 Pressing Problems In The Real World appeared on BitcoinEthereumNews.com.

Tokenization is the process of converting ownership of real estate, intellectual property, commodities, and other physical assets into digital tokens on a blockchain. Token holders can digitally sell, buy, or transfer their shares of the asset, benefiting from improved transparency, enhanced liquidity, and reduced transaction costs. Tokenization is well-known in blockchain games. Certificates of ownership of cryptocurrencies, NFTs, avatars, or other in-game items shift control from gaming studios to players, fueling the growth of player-driven game economies. Another prominent example of tokenization is in the real estate industry. Digital asset platforms convert property rights into tradable tokens, providing holders with fractional ownership of a property and the ability to digitize assets at a significantly lower cost. A single, standalone real estate property is converted into a number of tokens, so an investor can own a piece of a property worth $1 million for as little as $5,000 and sell his tokens without having to wait for one large client. Tokenization’s power to solve real-world problems transcends the boundaries of gaming and real estate. An example is its use by the decentralized platform EcoYield to support the global transition to clean energy. 1. Tokenizing clean energy delivers much-needed transparency The UN predicts that around 2 billion people will continue to rely on polluting fossil fuels and technologies for cooking by 2030, judging by the current pace. Renewable energy sources power almost a third of energy consumption in the electric power sector, yet the challenges remain. Annual growth in renewable energy installation is 9.6% in developing countries, but international funding for clean energy projects continues to decline despite pressing needs. According to the UN, it’s necessary to speed up electrification and increase renewable energy investments, which is something tokenization can help achieve. Renewable energy technologies, especially solar and wind, are already more cost-effective…

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Filed under: News - @ June 18, 2025 12:23 pm