Tokenizing the Future

Table of Contents

1. Tokenization

   1. Frontmatter

   2. Introduction to Tokenisation

      Lukas Wagner

      Abstract

      Tokenisation in a DLT context is the creation of a digital, DLT-based representation of something of value. This chapter will provide an introduction to the concept, including its history, current legal frameworks and the process to then discuss its benefits.

   3. ERC Token Standards Powering NFTs: An Overview

      Lorenz Raphael Lehmann

      Abstract

      Non-fungible tokens (NFTs) are unique digital assets that represent verifiable ownership of items such as art, collectibles and virtual property. Enabled by blockchain technology and smart contracts, NFTs differ from fungible assets like Bitcoin in that each token is indivisible and distinct. Early experiments with NFTs began on platforms like Namecoin and Bitcoin, but widespread adoption was driven by Ethereum due to its programmable infrastructure and the introduction of NFT standards like ERC721 and ERC1155. These standards formalized NFT creation, ownership and transfer, fostering interoperability across decentralized applications. Smart contracts, primarily written in Solidity, provide the automation and logic behind NFT functionality, ensuring secure and immutable transactions. ERC721 defines a framework for unique, single-token ownership, while ERC1155 introduces a multi-token model supporting both fungible and non-fungible assets with greater efficiency. Recent innovations such as inscriptions store metadata directly in blockchain transaction calldata, as seen with Bitcoin Ordinals. This demonstrates new approaches to digital asset representation beyond traditional token standards. NFTs continue to evolve as a foundational technology for digital ownership and decentralized economies.

   4. Utilizing Tokenized Real-World Assets in DeFi

      Lorenz Raphael Lehmann

      Abstract

      The rise of blockchain technology has transformed digital finance, with decentralized finance (DeFi) enabling permissionless, transparent financial services like lending, trading and saving. While DeFi has largely focused on crypto-native assets, a new frontier is emerging through the tokenization of real-world assets (RWA), bringing assets like bonds, commodities and real estate onchain. This bridges traditional finance and DeFi, unlocking liquidity, fractional ownership and programmable yield. Despite benefits such as transparency, and accessibility, RWA tokenization introduces new risks such as legal, custodial and ownership risks. As infrastructure and regulation mature, tokenized RWA could significantly expand DeFi’s impact on global finance.

   5. Tokenisation of Tangible Assets

      Markus Fehn

      Abstract

      This chapter examines the tokenisation of tangible assets, highlighting how blockchain and smart contracts are reshaping financial markets. It reviews key legal frameworks, especially Germany’s Electronic Securities Act (eWpG), and compares major blockchain platforms. The benefits of tokenisation—including increased liquidity, fractional ownership, and automated compliance—are discussed, alongside a practical case study of tokenised gold. The chapter concludes by addressing regulatory and technological challenges, emphasizing the need for global standards and interoperability to fully realize the potential of asset tokenisation.

   6. Engagement Reimagined: Translating Psychological Ownership into Token-Based Engagement Models

      Lea Horn

      Abstract

       Customer retention and word-of-mouth recommendations provide critical competitive advantages in saturated markets. Traditional customer loyalty programs face limitations in creating deep consumer engagement. This chapter explores how Web3 technologies including blockchain, smart contracts, and digital collectibles can enhance customer loyalty through psychological ownership mechanisms. Psychological ownership describes the feelings of attachment and ownership individuals develop toward objects or experiences, independent of legal ownership. We examine how Web3 technologies enable brands to offer consumers verifiable ownership stakes in brand elements, potentially increasing identification and engagement. Through analysis of existing frameworks and case studies, we identify key psychological drivers of brand ownership and propose a systematic approach for implementing Web3-enabled engagement models.

   7. NFT—Non-Fungible Tokens

      Diana Dabboussi-Gürman

      Abstract

      In recent years, a growing trend has emerged within Web3: Non-Fungible Tokens (NFTs). They have evolved into a multi-functional tool used in a variety of industries and business contexts, starting with digital artwork and collectibles (Park et al., in. IT Professional 24(1), 9–14 (2022) [1]).

   8. On the Role of Tokenization for Pursuing Environmental Sustainability

      Vincent Schaaf, Jonathan Lautenschlager, Tobias Guggenberger, Marc-Fabian Körner, Jens Strüker, Nils Urbach

      Abstract

      Tackling the pressing challenges of climate change and environmental degradation, the Paris Agreement and the United Nations’ Sustainable Development Goals (SDGs) stand as pivotal frameworks guiding global efforts (United Nations, The Paris Agreement 2015). The Paris Agreement, an accord within the United Nations Framework Convention on Climate Change (UNFCCC), represents a collective commitment to limit global warming to well below 2, preferably to 1.5 °C, compared to pre-industrial levels. This goal is intricately aligned with the broader ambitions of the UN’s SDGs.

2. Legal

   1. Frontmatter

   2. Crypto Art and Intellectual Property

      Su-Zeong Fröhlich, Kerstin Gold

      Abstract

      This article examines the evolution of Digital Art and the emergence of Crypto Art, tracing roots from early computer-based practices in the 1960s to the transformative impact of NFTs as observed in 2024. It distinguishes “Digital Fine Art” from NFT collectibles, outlines key technical classifications (on-chain, off-chain, dynamic NFTs, generative art), and surveys major blockchain ecosystems (Ethereum, Polygon, Tezos, Solana, Cardano, Flow, Bitcoin Ordinals). We analyze how NFTs challenge traditional market mechanisms by increasing accessibility, transparency, and enabling direct artist–collector relationships, while reshaping intermediary roles through curation and community dynamics. We illuminate legal aspects, including the separation of token ownership from IP rights, smart contract enforceability, and fractionalization. Despite crypto market volatility, evidence suggests Crypto Art’s market dynamics are distinct, with growing institutional recognition and new collector demographics. Developments are changing rapidly; today’s conditions may shift tomorrow, and thus the field warrants continuous observation and periodic reassessment of the current state.

   3. Introduction to Decentralization and Ownership in Web3

      Gustav Hemmelmayr

      Abstract

      This article examines the domain of decentralization, a concept closely connected to Blockchain and Distributed Ledger Technologies, as well as Web3-based projects. It starts by exploring the technical foundations of decentralization and its pivotal role in the success of Bitcoin and the evolution of its technology. Following this, it examines the potential for ownership and control in applications built on these protocols or similar decentralized technologies. The article further categorizes the opportunities for decentralized ownership and control into four emerging tiers: distributed governance, distributed protocol token, distributed software, and applications of this software that offer decentralized asset ownership in various sectors. Emphasis is placed on how decentralization can disrupt the status quo by shifting power to individual users, thereby ushering in a new era of digital ownership, autonomy, and privacy.

   4. Enforcement of Rights in the Metaverse

      Simon J. Heetkamp, Ida Holschbach

      Abstract

      The metaverse is poised to revolutionize the way we interact and conduct business. This paper explores the key challenges of rights enforcement in the metaverse, including the regulation of avatars, anonymity, evidence and jurisdiction. It also examines potential solutions, including collaboration with platforms, digital identities, and the potential of decentralized justice.

   5. Procurement of Industrial Machinery in the Metaverse

      Potentials of Successful Strategy Development Natalia Broza-Abut, Tobias Jornitz, Axel T. Schulte

      Abstract

      In a constantly changing digital landscape, companies are continuously challenged to rethink and realign their business models. The evolution of the internet has taken us from static websites to social media to a new promising era in the form of the Metaverse. In this immersive, connected environment, physical and digital realities merge, creating entirely new opportunities and challenges for business strategies.

   6. SuppliedTrust: A Blockchain-Based Governance Framework to Establish More Trust in Consumer Products

      Timucin Korkmaz

      Abstract

      This research study was funded by the German Federal Ministry of Education and Research (Bundesministerium für Bildung und Forschung [BMBF]) from 2021 to 2023 and focused on increasing end-customer trust in industrially manufactured products. The project was part of the “2 + 2 Projects” series, which aims to strengthen international cooperation and the exchange of knowledge between two countries by involving one industry and one research partner from each participating country. The main objective was to ensure transparency and traceability of product quality by documenting tests performed during manufacturing in a blockchain and making the test results accessible to consumers in an abstracted form. The research involved the implementation of a system in which information was provided from different sources and devices. This enabled an immutable record covering the entire history of the product along the supply chain. Trustworthiness should be increased by using a trustworthy technology as data storage. This was ensured by analyzing existing cybersecurity standards and examining their applicability to blockchain technology. The application of this technology offers end customers the opportunity to gain detailed insights into the testing history of their specific product by simply scanning a QR code.

      Graphical Abstract

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