About Tokenization

MetaWork: Tokenize Everything

Our tools enable retail consumers, solopreneurs, SMB’s and global companies to access the blockchain to:

  1. Design, manufacture, and deliver customized products to global consumers via our browser-based, user-friendly Design Engine.
  2. Defend Intellectual Property (IP) Rights via our NFT minting process which establishes an immutable record of ownership.
  3. Hire MetaWork Consultants on a “pay per task” basis for tasks such as sales, marketing, social media management, etc.
  4. Manage financial responsibilities and transactions, such as investor dividends or payroll; transparently, securely and instantly.

Why Tokenization?

“Tokenization,” enables decentralized access, by anyone in the world, to physical assets like real estate or art; financial assets like equities or bonds; and intangible assets like task-based work or intellectual property (IP). “Tokenizing” real-world assets (RWA) has the following benefits:

  1. Creates an immutable, transparent record of all transactions involving said asset.
  2. Enables trustless transactions via smart contract (no lawyers needed). Assets are only released when conditions are filled.
  3. 24/7/365 access to financial records, transactions and payouts.

How it Works

The creation process differs slightly depending on the asset being “tokenized,” but essentially, the MetaWork platform creates and issues unique, digital certificates (NFTs) that represent real things. These NFTs can then be used, bought, sold, or traded at-will by the owner, representing the buying, selling or trading of the asset itself.

The value of these NFTs are determined by the value of the asset that was tokenized. For example:

  1. An artist can “tokenize” a drawing (IP), then set a royalty price for anyone that wants to use the IP in their own work. When someone pays the royalty, they’re given access to the IP. The value of the NFT is whatever the artists decides.
  2. An entrepreneur can “tokenize” a start up, allowing for decentralized, crowd-sourced investment. Upon entering, investors are issued an NFT representing their stake in the venture. This NFT would be used to claim dividends, instantly, any time. The value of the NFT is determined by the revenue of the business.
  3. Exporters/Importers can “tokenize” shipments, releasing payment, instantly, upon meeting agreed upon conditions (eg, passing port inspection). The value of the NFT is determined by the cost of goods.
  4. A village can “tokenize” a cow, enabling each member of the community (that’s been issued an NFT) to earn a pre-determined percentage of the profit when the cow gets sold. The value of the NFT is determined by the final sale price of the cow.

How does a Web3 asset get tokenized?

There are four typical steps involved in asset tokenization:

  1. Asset sourcing – The first step of tokenization is figuring out how to tokenize the asset in question. Tokenizing a money market fund, for example, will be different from tokenizing a carbon credit. This process will require knowing whether the asset will be treated as a security or a commodity and which regulatory frameworks apply. MetaWork typically uses some type of a Liquidity Pool (LP).
  2. Digital-asset issuance and custody. If the digital asset has a physical counterpart, the latter must be moved to a secure facility that’s neutral to both parties. Then a token, a network, and compliance functions are selected—coming together to create a digital representation of the asset on a blockchain. Access to the digital asset is then stored pending distribution. MetaWork maintains a physical presence whenever physical assets are involved.
  3. Distribution and trading. The investor will need to set up a digital wallet to store the digital asset. Depending on the asset, a secondary trading venue—an alternative to an official exchange that is more loosely regulated—may be created for the asset. MetaWork’s tokenized assets can be traded on decentralized exchanges and marketplaces.
  4. Asset servicing and data reconciliation. Once the asset has been distributed to the investor, it will require ongoing maintenance. This should include regulatory, tax, and accounting reporting; notice of corporate actions; and more.  MetaWork provides training classes on portfolio management best practices.

MetaWork manages most of the technical stuff on the backend.  The only exception, is that because we’re non-custodial, your assets will be kept in a secure crypto wallet that only you can access; and will use it to off ramp into fiat currency at any time.  We do, however provide training on how to create and manage a wallet.