According to a TechFlow report on November 23, as reported by CoinDesk, Marcin Kaźmierczak, co-founder of the Oracle provider RedStone, warned that the rise in the tokenization trend of real-world assets (RWA) may pose significant risks due to the differences between 24/7 trading in the crypto market and the traditional market's weekend closure. When the traditional market is closed and on-chain trading continues, a major event over the weekend (such as “TSL factory explosion”) could lead to a “price dislocation” between tokenized stocks and their actual value on NASDAQ. Most Oracles freeze price data after the U.S. market closes at 4 PM on Fridays until updates resume on Mondays, which may result in on-chain protocols trading on outdated prices, creating arbitrage opportunities or causing lending protocols to be under-collateralized. As more complex asset portfolios go on-chain, this issue could become more severe, necessitating stronger Oracle architectures to manage the gap between open protocols and closed traditional markets.
View Original
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
RedStone Co-founder: The tokenization of real assets faces the risk of "weekend price misalignment".
According to a TechFlow report on November 23, as reported by CoinDesk, Marcin Kaźmierczak, co-founder of the Oracle provider RedStone, warned that the rise in the tokenization trend of real-world assets (RWA) may pose significant risks due to the differences between 24/7 trading in the crypto market and the traditional market's weekend closure. When the traditional market is closed and on-chain trading continues, a major event over the weekend (such as “TSL factory explosion”) could lead to a “price dislocation” between tokenized stocks and their actual value on NASDAQ. Most Oracles freeze price data after the U.S. market closes at 4 PM on Fridays until updates resume on Mondays, which may result in on-chain protocols trading on outdated prices, creating arbitrage opportunities or causing lending protocols to be under-collateralized. As more complex asset portfolios go on-chain, this issue could become more severe, necessitating stronger Oracle architectures to manage the gap between open protocols and closed traditional markets.