Tokenization in capital markets is moving beyond the pilot phase, but the future may not require replacing traditional financial infrastructure. Heather Goldman, Company Board Member of Global Digital Finance, joins Remy Blaire at the New York Stock Exchange to discuss findings from “The Convergence Imperative,” a joint report from Global Digital Finance, FIX Trading Community and Deloitte.
Goldman explains why interoperability will be critical as traditional financial instruments are increasingly tokenized and integrated with existing systems. Early adoption is taking hold in areas such as money market funds and repo markets, where deep liquidity and potential applications for collateral mobility are creating opportunities for greater efficiency.
The conversation also examines one of the biggest barriers to broader institutional adoption: standardization. Goldman discusses the need for systems across traditional and digital finance to communicate with one another, as well as the importance of a cash settlement layer using tools such as stablecoins or tokenized bank deposits. Ultimately, she says market participants want the underlying technology to disappear so they can focus on delivering better products, improving efficiency and reducing operational risk.