Issues & Trends

The Era of Tokenized Finance… Governance, Data Verification, and Security Must Be Prioritized

[STO Summit 2026] Inter-system Connectivity: Security Must Be Ensured Throughout the Entire Process Dawakar: “Building Connectivity Infrastructure While Maintaining Independence” Kazimierzczak: “The Next Step for RWA Is Verifiable Data”

KIM YEON-SEO
2026-10-05 21:10:04
[Edaily Marketin KIM YEON-SEO KIM SUNG-SOO Reporter] As tokenized finance gains traction, calls have emerged for a comprehensive approach that addresses interoperability, governance, price data verification, and end-to-end security. It has been pointed out that using blockchain as market infrastructure requires a structure where individual financial systems remain independent while being interconnected, and that accurate price data is essential for utilizing tokenized real-world assets (RWAs) as collateral or for other purposes. There have also been calls to ensure security throughout the entire process—from issuance to asset custody and trading—from the very beginning of a project.

Vibh Divakar, CEO of Canton Foundation, delivers a presentation titled “Institutional Blockchain as Market Infrastructure: Governance, Privacy, and Interoperability” at the “STO Summit 2026” held on the 2nd at the Korea Exchange in Yeouido, Seoul. [Photo: E-Daily Reporter Kim Tae-hyung]

Vibh Dhawakar, CEO of Canton Foundation, stated at the “STO Summit 2026” held on the 2nd at the Korea Exchange Conference Hall in Yeouido, Seoul, “It is crucial to build infrastructure that allows each sovereign system to remain independent while connecting with one another.” This implies that, in institutional finance, it is more important to create a structure where systems are interconnected while maintaining their independence—adhering to the varying regulatory, risk management, and data protection standards of each country and financial institution—rather than having a single chain integrate all markets.

CEO Dhawakar explained that such interconnectivity can enhance capital efficiency for financial institutions. He emphasized, “Currently, collateral operates only 48 hours a week, but on-chain, it operates 24 hours a day,” adding, “This is the norm in interconnected markets.” He further noted, “It is not a matter of one network defeating all others and emerging victorious.”

Marcin Kazmierzczak, Chief Operating Officer (COO) of Redstone, identified verifiable data as the next frontier for tokenized real-world assets (RWAs). He explained that tokenized RWAs often rely on a single source—such as fund managers, off-chain custodians, or market makers—and typically receive net asset value (NAV) updates only once every 24 hours.

Redstone, in collaboration with Securitize, has developed a standard called the “Trusted Single-Source Oracle (TSSO).” COO Kazmierczak explained, “If the net asset value is outdated and updates on-chain cease, there is a risk of liquidation delays and non-performing loans within the protocol,” adding, “This is a safeguard to prevent on-chain prices from collapsing due to simple mistakes or accounting errors and to avoid unnecessary liquidations.”

A prime example occurred last July in the pre-market, when a single share of SK Hynix traded at the daily price limit, triggering a massive forced liquidation worth approximately 82 billion won in the linked overseas on-chain derivatives market. Although SK Hynix’s stock price recovered immediately, Trade.xyz—which relied solely on the price of that single share at the limit—failed to filter out the abnormal price via its oracle, resulting in liquidation.

Feiwei Wang, Senior Director at Certik, emphasized the importance of security throughout the entire process, not just in smart contracts. “As financial institutions increasingly adopt digital assets, the importance of security is growing as well,” Director Wang noted. “Since blockchain transactions are conducted via electronic signatures using private keys, if a key is compromised or a transaction is signed in error, it can lead to asset loss.”

Director Wang stated, “The security of tokenized finance should not be limited to smart contracts alone,” adding, “It is important to comprehensively assess the security of smart contracts, cryptographic keys, applications, and infrastructure, and to incorporate regulatory compliance requirements from the very beginning of the business.”

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