According to Brian Armstrong, the current financial system systematically favors those who already control capital, while leaving most people locked […] The postAccording to Brian Armstrong, the current financial system systematically favors those who already control capital, while leaving most people locked […] The post

Brian Armstrong Pushes Tokenization as a Fix for Market Inequality

2026/01/20 22:30

According to Brian Armstrong, the current financial system systematically favors those who already control capital, while leaving most people locked out of the most profitable markets.

Key takeaways:

  • Capital income has grown far faster than wages, widening the wealth gap
  • Access to top-performing financial markets is limited by geography, regulation, and cost
  • Structural barriers, not individual choices, drive much of the inequality
  • Tokenization is presented as a way to open global markets to broader participation

At the core of the issue is a widening gap between labor and capital. Wages have grown slowly over decades, while returns on assets such as equities and private investments have surged. As a result, individuals who rely primarily on income from work struggle to keep pace with those whose wealth compounds through market exposure. Access itself has become a barrier, with many of the highest-performing financial opportunities either restricted, geographically limited, or priced beyond the reach of average participants.

Armstrong argues that this imbalance is not merely economic, but structural. Traditional capital markets are fragmented by borders, regulation, and minimum investment thresholds. For billions of people, participation is either impossible or impractical, meaning global wealth creation increasingly concentrates among a relatively small group with the right access and resources.

Tokenization as a Structural Reset

In response, Coinbase has released a detailed research paper outlining how tokenization could change this dynamic. The idea is straightforward but far-reaching: by representing real-world assets as blockchain-based tokens, markets can become more open, divisible, and globally accessible.

READ MORE:

Vitalik Buterin Says Today’s DAOs Are Not Good Enough

Tokenization lowers entry barriers by enabling fractional ownership and continuous access, allowing individuals to gain exposure to assets that were previously reserved for institutions or high-net-worth investors. It also reduces geographic friction, turning fragmented local markets into global ones that operate around the clock.

From Armstrong’s perspective, this shift could fundamentally alter how wealth is created. Instead of capital markets overwhelmingly rewarding those who already have scale, tokenized systems could broaden participation in value creation regardless of location or starting capital. In that sense, tokenization is framed less as a technological upgrade and more as a mechanism for equalizing opportunity.

While regulatory clarity and careful implementation remain necessary, the message is clear: without structural reform, the divide between capital owners and wage earners is likely to keep widening. Tokenization, Armstrong argues, offers a credible path toward markets where access is defined by participation rather than privilege.


The information provided in this article is for educational purposes only and does not constitute financial, investment, or trading advice. Coindoo.com does not endorse or recommend any specific investment strategy or cryptocurrency. Always conduct your own research and consult with a licensed financial advisor before making any investment decisions.

The post Brian Armstrong Pushes Tokenization as a Fix for Market Inequality appeared first on Coindoo.

Market Opportunity
ConstitutionDAO Logo
ConstitutionDAO Price(PEOPLE)
$0.009715
$0.009715$0.009715
+2.42%
USD
ConstitutionDAO (PEOPLE) Live Price Chart
Disclaimer: The articles reposted on this site are sourced from public platforms and are provided for informational purposes only. They do not necessarily reflect the views of MEXC. All rights remain with the original authors. If you believe any content infringes on third-party rights, please contact [email protected] for removal. MEXC makes no guarantees regarding the accuracy, completeness, or timeliness of the content and is not responsible for any actions taken based on the information provided. The content does not constitute financial, legal, or other professional advice, nor should it be considered a recommendation or endorsement by MEXC.

You May Also Like

Which Altcoins Stand to Gain from the SEC’s New ETF Listing Standards?

Which Altcoins Stand to Gain from the SEC’s New ETF Listing Standards?

On Wednesday, the US SEC (Securities and Exchange Commission) took a landmark step in crypto regulation, approving generic listing standards for spot crypto ETFs (exchange-traded funds). This new framework eliminates the case-by-case 19b-4 approval process, streamlining the path for multiple digital asset ETFs to enter the market in the coming weeks. Grayscale’s Multi-Crypto Milestone Grayscale secured a first-mover advantage as its Digital Large Cap Fund (GDLC) received approval under the new listing standards. Products that will be traded under the ticker GDLC include Bitcoin, Ethereum, XRP, Solana, and Cardano. “Grayscale Digital Large Cap Fund $GDLC was just approved for trading along with the Generic Listing Standards. The Grayscale team is working expeditiously to bring the FIRST multi-crypto asset ETP to market with Bitcoin, Ethereum, XRP, Solana, and Cardano,” wrote Grayscale CEO Peter Mintzberg. The approval marks the US’s first diversified, multi-crypto ETP, signaling a shift toward broader portfolio products rather than single-asset ETFs. Bloomberg’s Eric Balchunas explained that around 12–15 cryptocurrencies now qualify for spot ETF consideration. However, this is contingent on the altcoins having established futures trading on Coinbase Derivatives for at least six months. This includes well-known altcoins like Dogecoin (DOGE), Litecoin (LTC), and Chainlink (LINK), alongside the majors already included in Grayscale’s GDLC. Altcoins in the Spotlight Amid New Era of ETF Eligibility Several assets have already met the key condition, regulated futures trading on Coinbase. For example, Solana futures launched in February 2024, making the token eligible as of August 19. “The SEC approved generic ETF listing standards. Assets with a regulated futures contract trading for 6 months qualify for a spot ETF. Solana met this criterion on Aug 19, 6 months after SOL futures launched on Coinbase Derivatives,” SolanaFloor indicated. Crypto investors and communities also identified which tokens stand to gain. Chainlink community liaison Zach Rynes highlighted that LINK could soon see its own ETF. He noted that both Bitwise and Grayscale have already filed applications. Meanwhile, the Litecoin Foundation indicated that the new standards provide the regulatory framework for LTC to be listed on US exchanges. Hedera is also in the spotlight, with digital asset investor Mark anticipating an HBAR ETF. Market observers see the decision as a potential turning point for broader adoption, bringing the much-needed clarity and accessibility for investors. At the same time, it boosts confidence in the market’s maturity. The general sentiment is that with the SEC’s approval, the next phase of crypto ETFs is no longer a question of ‘if,’ but ‘when.’ The shift to generic listing standards could expand the US-listed digital asset ETFs roster beyond Bitcoin and Ethereum. Such a move would usher in new investment vehicles covering a dozen or more altcoins. This represents the clearest path yet toward mainstream, regulated access to diversified crypto exposure. More importantly, it comes without the friction of direct custody. “We’re gonna be off to the races in a matter of weeks,” ETF analyst James Seyffart quipped.
Share
Coinstats2025/09/18 12:57
SEC approves generic listing standards, paving way for rapid crypto ETF launches

SEC approves generic listing standards, paving way for rapid crypto ETF launches

The Securities and Exchange Commission has approved new generic listing standards for spot crypto exchange-traded funds, clearing the way for faster approvals. The U.S. SEC has approved new generic listing standards that will allow exchanges to fast-track spot crypto ETFs,…
Share
Crypto.news2025/09/18 13:51
WTI drifts higher above $59.50 on Kazakh supply disruptions

WTI drifts higher above $59.50 on Kazakh supply disruptions

The post WTI drifts higher above $59.50 on Kazakh supply disruptions appeared on BitcoinEthereumNews.com. West Texas Intermediate (WTI), the US crude oil benchmark
Share
BitcoinEthereumNews2026/01/21 11:24