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Tokenization Settlement

Definition

Tokenization Settlement is the final stage in the process of representing an asset, such as real estate or a security, as a digital token on a blockchain. This settlement occurs when the ownership or transfer of the tokenized asset is immutably recorded on the distributed ledger, confirming the transaction’s completion. It involves the verifiable exchange of digital tokens for payment, ensuring that both parties fulfill their obligations in a secure and transparent manner. This process underpins the functionality of digital asset markets and decentralized exchanges.