Tokenized Equities & RWA Glossary
Plain-English, neutral definitions for the tokenized-equities and real-world-asset (RWA) ecosystem — written by The Cube, the data desk at TokenizedXonChain. Each entry opens with a direct answer, then explains how it works. Informational only; not financial advice.
Equities
- Tokenized Equity — A tokenized equity is a blockchain token that represents ownership of, or economic exposure to, a real company share.
- Tokenized Stock Dividends & Corporate Actions — Whether a tokenized stock passes through dividends depends entirely on the issuer.
- Backed vs Synthetic Tokenized Assets — A backed (asset-referenced) tokenized asset is collateralized 1:1 by the real asset held in custody — one token, one share or unit.
RWA
- Real-World Asset (RWA) — A real-world asset (RWA) in crypto is an off-chain asset — a Treasury bill, equity, fund, bond, commodity, or property — represented as a blockchain token.
- Tokenized Treasury — A tokenized treasury is a money-market or short-term US Treasury fund issued as a blockchain token that pays yield on-chain.
Pricing
- NAV Premium & Discount — NAV premium (or discount) is the gap between a tokenized asset's on-chain market price and its net asset value (NAV) — the value of the underlying share or fund.
- De-Peg & Tracking Error — A de-peg (or tracking error) is when a tokenized asset's price drifts away from the value of the share or fund it represents.
- Multi-Oracle Pricing — Multi-oracle pricing values a tokenized asset by comparing several independent price feeds — such as Pyth, Chainlink, the issuer's published NAV, and the on-chain market price — instead of trusting one source.
- Mint & Redeem — Mint and redeem is the primary-market mechanism that keeps a backed tokenized asset aligned with its underlying.
Settlement
- Atomic Settlement — Atomic settlement is all-or-nothing settlement: every leg of a transaction completes together or none do, with no partial or failed state.
Compliance
- T-REX (ERC-3643) — T-REX (ERC-3643) is an Ethereum token standard for compliant, permissioned security tokens.
- Proof of Reserve — Proof of reserve (PoR) is an independent, on-chain attestation that a tokenized asset is fully backed by the assets it claims to hold.