One of the most exciting developments in this space is the emergence of Tokenized Funds and On-chain Funds.
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Tokenized Funds represent traditional investment funds in the form of blockchain-based tokens, enabling fractional ownership, increased liquidity, and easier global access for investors.
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On-chain Funds, on the other hand, are fully managed and operated directly on the blockchain, where all transactions, performance records, and governance activities are transparently recorded in smart contracts.
Both models bring enhanced efficiency, faster settlement times, and greater transparency compared to traditional fund structures. However, they also require advanced fund administration capabilities to ensure regulatory compliance, accurate NAV (Net Asset Value) calculations, and secure investor reporting in a real-time blockchain environment.
