Tokenization Poised to Unlock Capital Markets and Boost Investment in Latin America

Tokenization Poised to Unlock Capital Markets and Boost Investment in Latin America
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Industry research from Bitfinex Securities argues that broader adoption of tokenized financial products could address persistent inefficiencies across Latin American capital markets and help channel more investment into the region.

The report identifies a pattern it calls “liquidity latency” — a combination of high fees, fragmented or complex regulation, technological gaps and steep startup costs that slows capital flow and limits investor participation in many LATAM markets. Tokenization of real-world assets (RWAs) is presented as a potential technical and structural fix to those bottlenecks.

According to the analysis, minting financial instruments and tangible assets on-chain can increase accessibility, transparency and settlement efficiency. Bitfinex’s findings highlight that tokenized issuances can materially lower issuance costs (by up to about 4% in their example) and shorten listing or go-to-market timelines by as much as several months, thereby creating more trading opportunities for a wider pool of investors.

Senior industry voices quoted in the piece emphasize the socio-economic benefits of tokenization for emerging economies. Paolo Ardoino, CEO of Tether and CTO of Bitfinex Securities, is cited saying tokenization removes long-standing capital access barriers for businesses and individuals in developing markets, enabling more efficient and cost-effective fundraising while expanding investor choice.

The article also points to large consulting estimates that view tokenized securities as a multi‑trillion‑dollar opportunity: one cited projection places tokenized securities’ potential market in the trillions by 2030 under bullish scenarios. Such forecasts, the report argues, help explain why exchanges and financial firms are increasingly exploring regulated token issuance and secondary trading.

Taken together, the report frames tokenization not just as a technical innovation but as an enabler of market inclusion — lowering entry costs for issuers, widening access for retail and institutional investors, and potentially improving liquidity across LATAM capital markets. The piece suggests that, if accompanied by clear regulation and investment in infrastructure, tokenization could accelerate capital formation and create new investment channels across the region.

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