Tobias Adrian: tokenization can improve financial settlement efficiency, but caution should be taken against regulatory fragmentation risks

According to Cointelegraph, Tobias Adrian, Financial Advisor and Director of Monetary and Capital Markets at the International Monetary Fund, stated that tokenization can compress settlement processes to almost instant completion by integrating assets, settlements, and accounting into a shared ledger. However, without unified standards and coordinated regulation, tokenized financial markets may become fragmented due to platform incompatibility, creating new systemic risks.