Photo by Maria Lin Kim on Unsplash
Imagine a world where you no longer truly own your house, car, or savings. Instead, everything you think you own is controlled by big financial institutions, leaving you with nothing but a fragile claim on your property. This dystopian future is closer than you think, thanks to a growing trend called the tokenized economy.
Blaze Return reports that tokenization is being pushed by powerful companies and institutions like the Depository Trust and Clearing Corporation (DTCC) and Euroclear, which handle trillions of dollars in financial transactions. They aim to turn physical and financial assets—like houses, stocks, and even U.S. government bonds—into digital tokens stored on a blockchain. This system is marketed as modern and efficient, making it easier to buy, sell, or use assets like cash. But beneath the surface lies a dangerous shift in who owns what.
Here’s the problem: under new rules tied to this tokenized system, individuals who “own” assets become mere “entitlement holders.” This means that in a financial crisis, big banks and financial institutions—classified as “secured creditors”—get first dibs on those assets. Regular people are left with little or no recourse. This isn’t hypothetical; it’s already happening in states that have passed laws updating the rules around digital assets.
Why would they do this? The global financial system is addicted to risky trading in something called the derivatives market, which requires massive amounts of collateral. Tokenizing everything gives these financial giants the collateral they need to keep the system running—at the expense of your property rights.
The tokenized economy is being sold as innovative, but its real goal is to consolidate control over wealth. If this system takes over, owning nothing and “being happy” won’t be a choice—it will be your reality. Americans must stand up for true ownership before it’s too late.
This post originally appeared at https://www.phyllisschlafly.com/liberalism-and-conservatism/tokenized-economy-threatens-property-rights/