What will the world be like when every physical object has a tradable digital twin

Source: CritpoTendencia Original Title: What the World Will Be Like When Every Physical Object Has a Tradeable Digital Twin Original Link: Tokenization and digital twins are about to transform our everyday economy.

Soon, every physical object could have a tradeable digital replica. This includes clothing, cars, watches, and works of art.

The Concept: Tradeable Digital Twins

A digital twin replicates a physical object on the network, with associated data, history, and rights.

This way, the owner can fractionalize, sell, or use that twin as collateral. This idea is already gaining traction in financial markets and retail.

Tokenized Assets: What Changes Today

Tokenization turns real assets into transferable tokens.

Thus, an expensive watch can be divided into shares for many investors. This improves liquidity and democratizes access.

Clothing, Cars, and Watches: Practical Cases

The textile industry will be able to create exact digital copies of limited-edition garments. The buyer will have proof of authenticity and access to digital after-sales services.

In cars, digital twins will incorporate maintenance and usage history. This increases transparency and reduces fraud.

For watches, tokenization will strengthen traceability and the secondary market.

Art and Collectibles: The New Infinite Market

Art is already undergoing a digital revolution. Collectors will be able to buy shares of a piece. In this way, the artwork generates a continuous market and a broader base of buyers.

At the same time, new forms of curation and copyright management are emerging.

The Infinite Market and Its Opportunities

We are talking about a borderless market, active 24 hours a day, with accessible fractions.

Large institutions are already investing to adapt infrastructure for this future. For example, exchanges and asset managers are seeking tokenized platforms.

Risks and Necessary Regulations

Tokenization brings advantages but also real risks.

Regulators warn about confusion between the token and the underlying asset. In addition, there are counterparty vulnerabilities and potential contagion to the crypto ecosystem. Therefore, regulation must clarify rights and custody.

Companies must invest in traceability and technical standards. Retailers should integrate digital twins into the supply chain. Consumers gain protection but must understand the difference between a token and physical ownership.

Conclusion: A More Liquid but Complex World

When every object has a tradeable twin, the economy will be more liquid. There will be more access and new business models.

However, we need clear rules and reliable custody to prevent fraud and confusion.

If properly regulated, this change could democratize value and create a truly global market.