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Settlement Asset

A settlement asset is the asset used to complete the payment side of a financial transaction. In tokenized markets, settlement assets could include stablecoins, tokenized bank deposits or other forms of digital money depending on the market structure.

Why it matters to you

Tokenizing the investment asset solves only one side of a transaction. If a tokenized bond moves instantly but payment still relies on slower infrastructure, some of the potential efficiency is lost. Digital settlement assets allow both the asset and payment sides of a transaction to operate on compatible infrastructure.

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