Intangible Asset Tokenization

Mechanism

Intangible asset tokenization functions by converting non-physical rights, such as intellectual property, brand equity, or royalty streams, into programmable digital tokens on a distributed ledger. This transformation enables the fractionalization of high-value, illiquid holdings, allowing market participants to trade portions of assets that were previously inaccessible due to indivisibility. By encoding legal entitlements directly into smart contracts, the protocol automates the distribution of dividends or revenue generated by these underlying interests without traditional intermediary intervention.