Venezuela's Economic Recovery Hinges on Tokenization But Systemic Barriers Remain

Real-world asset tokenization has been proposed as a way to revive Venezuela's economy, but experts say there are significant systemic barriers to overcome.

The idea is to use blockchain infrastructure to bypass traditional financial system dysfunctions and channel investment into strategic sectors. Tokenization can lower the investment threshold, expanding the participant base, especially for Venezuelans holding stablecoins and savings in crypto assets.

Three applications have been proposed: tokenizing energy and mining assets, fractionalizing large-scale projects, and mining traceability through distributed ledgers. The latter is technically mature but requires cross-auditing between state and private nodes.