Tokenization
Recording ownership of, or a claim on, something as transferable entries on a blockchain.
Tokenization changes the plumbing of ownership: transfer can occur at any hour, settle in the same step as payment, be divided into small units, and carry rules enforced by code such as whitelists, lockups, and automatic distributions. It does not change what the asset is. The cash flows, the credit quality, the legal rights, and the remedies available if something goes wrong are all set by the instrument and the contract behind it, not by the ledger recording it. This distinction is the core of the topic: a tokenized bond is still a bond with the issuer's credit risk, and a tokenized property interest is still subject to the property law of its location.
En pratique
A tokenized fund can encode its transfer restrictions in the token contract, so a transfer to a wallet that has not been approved simply fails rather than being unwound afterwards.
Le malentendu courant
Tokenization changes how ownership is recorded and moved; it does not improve the underlying asset's cash flows, legal rights, or credit quality.