As different forms of crypto tokenization enter the marketplace and intersect with real-world physical assets, getting the accounting and reporting correct will only become more important.
Decentralized finance (DeFi), nonfungible tokens (NFTs) and the overall trend to try and embed digital assets into a blockchain are trends that continue virtually unabated. Setting aside the usual accounting issues with regards to cryptoassets — valuation, accounting standards, tax issues — the rise of NFTs and DeFi continue to create new and more nuanced questions.
To better integrate crypto economics with existing physical assets, consider these issues that will invariably crop up as crypto tokenization becomes more popular.