With many young investors getting into the blockchain and cryptocurrency space through various internet advertisements, the importance of education in the space is becoming more apparent, according to a panel discussion at CV Summit 2022.
Cointelegraph Editor-in-Chief Kristina Cornèr moderated a panel discussion titled “Tokenized Finance, Security Tokens, and the Redefinition of Value.” Panelists included Massimo Butti, head of equity at SDX; Nicola Plain, CEO of Aktionariat; Thomas Eichenberger, Head of Business Units at Sygnum and Arnab Naskar, Co-Founder of STOKR.
During the discussion, several topics were raised, including how distributed ledger technology (DLT) is forcing traditional finance to rethink its ways, and how accessibility and education of the community and regulators have become vital. .
According to Butti, the change in mentality of traditional financiers like himself has been massive. The executive explained that this is because distributed ledger technology is one of the breaking points in the evolution of financial and capital markets. He further said that:
“This technology is so revolutionary that it has forced people like me, who come from the traditional world of finance, to rethink not only the way they work, but also the way they relate to their investors and their market.”
The executive pointed out that this new technology makes it possible to democratize access to financial markets. However, Butti believes it will be some time before the community can determine if this new access is a good thing.
As for accessibility, Plain also weighed in. Contrary to the idea that financial markets can be accessed by everyone, Plain believes that participants will be determined by the market in the future. However, he believes that it is not for everyone. “If everyone wants it, we’ll use it. We’ll see. But right now, what I see is mostly people who were already investing,” he said.
Eichenberger also agreed with Plain’s perspective, stressing the importance of educating investors who will have access to new financial technologies so they can reap the benefits. The executive said:
“We provide them with the right level of information, the right level of risk disclosure and, ideally, even the right level of advice to ensure they ideally reap the benefits.”
Highlighting education, Cornèr took the opportunity to ask the panel more about the topic and how they would approach this aspect of innovation. Responding to the question, Naskar noted that it is also important to educate regulators as well as the community. He explained that:
“The biggest challenge for regulators right now is that they don’t know the regulators in the sector. That’s the biggest problem. They don’t know how financial markets are used and how their operations work technologically.”
Naskar stressed that it is very important to address this issue before moving on to investors. He said it is very important to help regulators understand how these new financial instruments work technologically.
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