Tokenized assets must prove investor rights after DTCC launch, CineNow executive says
CineNow is preparing to tokenize a $150 million Indian film fund by late 2027, aiming to provide exposure to a diversified portfolio of over 30 films. Hamed Faqirzai, director of tokenization at CineNow, emphasizes that the success of such niche assets depends on robust legal frameworks, transparent cash flows, and independent verification rather than just blockchain infrastructure. This perspective follows the October 2024 launch of the DTCC Tokenization Service, which focuses on highly liquid assets like US Treasuries and Russell 1000 stocks. While traditional assets benefit from existing liquidity and established legal ownership, alternative assets like film rights require standardized disclosures and reliable transfer rules to attract institutional interest. Data from Chainalysis highlights the growing importance of private credit in the RWA sector, which now accounts for 77% of lending against tokenized assets. CineNow intends to manage revenue through segregated accounts and independent audits to ensure investor protection. Ultimately, the project underscores a broader industry shift toward proving the underlying value of tokenized assets to move beyond simple infrastructure testing.