Strato Tokenization, Composability & HardFi
Summary
On STRATO we discuss how tokenizing assets is only the beginning. The announcement explains the power of composability and HardFi to enable borrowing against tokenized assets, looping, and the creation of secondary markets and derivatives to boost liquidity and price discovery. This matters to the STRATO community as it opens new DeFi use cases and financial primitives.
Tokenizing assets is the start.
The real power of tokenization, and HardFi, is composability, which allows users to borrow against those assets and loop them.
As ＠syrupsid said recently when we talked to him:
"The real power of DeFi is composability. Once you tokenize something like gold — or other precious metals — you can use it as collateral for borrowing and looping, as we've seen with STRATO.
Or you can build secondary markets around it to increase liquidity and enable price discovery. You can also build derivatives around it, the way Hyperliquid has with its perps markets on oil."
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