The Bank of Russia has issued a warning regarding the risks associated with tokenized real-world assets. While the practice is still in its early stages and poses no significant systemic risks currently, as tokenization spreads, it could introduce critical risks, especially in terms of capital flows to unregulated segments and the exposure of traditional financial players to cryptocurrencies. The bank's research report highlighted that tokenized assets are not exempt from risks associated with their underlying real-world assets, including theft, damage, or loss during storage or transportation. There is also a concern about double tokenization, where the same asset is tokenized across multiple blockchains. Liquidity risks and potential mass investor actions in the event of volatility or stress in token markets were also noted. The involvement of data providers known as oracles was mentioned as a potential risk, as manipulation or errors in oracle data could impact market stability. Despite these risks, the volume of tokenization of real-world assets is still relatively small in the global financial industry.



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