On the one hand, there has been a lot of recent development in the industry of tokenized stocks and assets. For example, Ondo finance offer regulated US stocks including Blackwater ETFs tracking Western (IVV), Chinese (FXI) and Emerging Market (EEM) indicis. More recently ex.io has announced plans to issue Hong Kong domiciled tokenized equity. This is becoming attractive for investors who use bitcoin as a vehicle for capital and prefer a permissionless transaction environment.
On the other hand, the perpetual problem with this system is the same as the problem with stablecoins; there is always a redemption risk, even in regulated environments because the regulation itself is a point of centralization. Obviously.
So what's the solution?
There was an old project on Eth call Moloch Dao which was a system of smart contracts that controlled the funds of a business or organization according to certain onchain ownership rights. I have a very similar idea in my head... The 'ceo nft holder' proposes transactions, the 'operator' token holders reserve the right to veto transactions, the 'loot' token holders receive payouts and elect operators / ceo. The game changing thing about this is that it would be a permissionless digital stock. Therefore, capital is not dependent on state enforcement to secure its ownership of the business because it can rely on its onchain voting rights instead.
On the one hand you might not think that something like this could ever be possible, because it would be taken down instantly. But on the other hand, if bitcoin really takes off as a megabank, then it could really change the appetite towards permissionless vehicles for capital.
And would this be a good thing?
On the one hand (fucking hell so many hands), it would be good because it would democratize business ownership. It makes capitalism portable and accessible to all.
But on the other hand, that's exactly the problem, and it will only benefit the few who actually take the time to deliberately use this to their advantage and avoid the myriad pitfalls of capitalism that have claimed so many lives already.
So...
Write below if you have any news or updates or opinions about this ongoing unraveling.