--- title: Liquidity challenges in tokenized assets and how to address them url: "https://www.unknowngravity.com/en/articulos/desafios-de-la-liquidez-en-activos-tokenizados-y-como-enfrentarlos" site: Unknown Gravity published: "2025-06-06T15:14:38+00:00" modified: "2026-07-15T10:51:32+00:00" language: en-US description: Asset tokenization opens the door to new forms of investment, fractional ownership and global access to traditionally closed markets. section: "Home > Cryptocurrencies and tokens > Liquidity challenges in tokenized assets and how to address them" --- # Liquidity challenges in tokenized assets and how to address them Asset tokenization opens the door to new forms of investment, fractional ownership and global access to traditionally closed markets. However, **Liquidity** —the ability to buy or sell a token without significantly affecting its price—remains one of the main bottlenecks. ‍ In this article, we address the **real liquidity challenges faced by tokenized assets** and we explore **applicable solutions** to improve operability and market share. ‍ ## Why is liquidity so important? Liquidity isn't a luxury: it's a requirement for a market to function efficiently. A tokenized asset without sufficient liquidity can result in: - Hard to sell (low output) - Volatile (unstable prices) - Unattractive to institutional investors ‍ **Key fact:** According to the World Economic Forum (2020), 90% of the world's assets are “illiquid” or difficult to exchange. *Tokenization can help solve it, but only if it is accompanied by appropriate mechanisms.* ‍ ## Main liquidity challenges in tokenized assets ### 1. Lack of regulated secondary markets Many tokens represent real-world assets (real estate, private company shares, commodities) that **they cannot be freely listed on public exchanges** due to legal restrictions. This prevents immediate access to liquid secondary markets. ‍ **Solution:**\ Create **authorized private markets** (ATS, MTFs) or use tokenized platforms with **regulatory license**, such as INX or tZero. ‍ ### 2. Excessive market segmentation Each project creates its own token, its own standard and its own platform. This creates an ecosystem **fragmented**, where liquidity is distributed across multiple small pools. ‍ **Solution:**\ Adopt **common standards (ERC-20/ERC-1400, etc.)**, interoperability between platforms and using widely supported blockchain networks (such as Ethereum, Polygon or BASE) to consolidate liquidity. ‍ ### 3. Passive or absent inverters In many cases, the tokens are in the hands of investors who **They are not actively participating** in the market. This reduces rotation and the depth of the order book. ‍ **Solution:**\ Implement **liquidity incentives**, such as staking with rewards, volume rebates, or market-making programs. ‍ ### 4. Regulatory Limitations Tokens that represent securities, economic rights, or fractional ownership **can be considered financial securities**, which limits their free movement without complying with legal requirements. ‍ **Solution:**\ Legally structure tokens from the start (as security tokens if necessary), and work with legal advisors to **ensure legal transferability** in each jurisdiction. ‍ ### 5. High transaction costs In certain networks, high commissions (gas fees) dissuade users from making small transactions, directly affecting retail liquidity. ‍ **Solution:**\ To use **scalable or L2 networks** with reduced costs (such as Arbitrum, Polygon, Base) and enabling automated trading with efficient smart contracts. ‍ ### 6. Absence of adapted DeFi infrastructure Unlike purely crypto tokens, many tokenized assets **cannot be directly integrated into DeFi platforms**, for reasons of custody, legality or interoperability. ‍ **Solution:**\ Develop **specific DeFi infrastructure for real asset tokens**, such as loan protocols or regulated MMAs, and promote alliances between issuers and DeFi platforms. ‍ ## Practical Strategies for Improving Liquidity ### Create secondary markets from the start of the project Anticipating the need for liquidity allows us to design **parallel trading channels** at launch. This can include agreements with exchange platforms, building your own marketplace, or collaborations with DeFi pools. ‍ ### Establish incentive and reward programs Use token rewards or reduced commissions for **reward purchasing/selling activity** helps to energize markets. You can also use mechanisms such as: - Liquidity mining - Volume Bonuses - Programs for first time participants ‍ ### Integrate oracles and price data Count on **Reliable Price Oracles** allows you to power DeFi applications and increase market confidence. This is essential for low-volume tokenized assets, where prices could be easily manipulated. ‍ ### Partnering with traditional financial players Platforms that collaborate with **brokers, funds or investment banks** can attract more institutional liquidity, especially if they offer secure Fiat entry/exit ramps and full compliance. ‍ ## Cases that solved the liquidity problem ### TZero Regulated token security platform with institutional support. It has been able to legally list and trade tokenized assets, including tokenized shares of private companies. ‍ **Keys to your success:** - Full compliance with the SEC - Simple user experience - Alliances with Large Issuers ‍ ### Centrifuge It allows you to tokenize real-world invoices and assets, connecting them to DeFi to receive liquidity. It uses pools like Tinlake so that tokens can be used as collateral in loans. ‍ **Results:** - +250 million tokenized dollars - Integration with MakerDAO and Aave ‍ ## Conclusion Tokenization has the potential to unlock trillions in illiquid assets, but that potential only materializes if it is guaranteed **The liquidity of the issued tokens**. It's not enough to represent an asset digitally: it's necessary **Build the conditions so that asset can be traded in a smooth, secure and legal manner**. ‍ As the sector evolves, projects that think about liquidity from day one will survive and scale. ‍ ## Are you tokenizing an asset and want to secure its liquidity? In **Unknown Gravity** we help design tokenized ecosystems with trading infrastructure, legal strategy and DeFi compatibility right out of the box. **Request a free consultation and avoid costly mistakes.**