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Technology Risk

Technology risk is the risk that technological systems fail, become unavailable, are compromised or do not operate as intended. For RWAs, this can involve blockchain networks, wallets, smart contracts, APIs, custody systems or other digital infrastructure.

Why it matters to you

Tokenization introduces technology into parts of financial markets that may previously have depended on different infrastructure. This can improve efficiency, but it also means investors and institutions may become dependent on additional technological systems.

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