What role do smart contracts play in real-world asset tokenization?

[callie morgan]

Smart contracts are what make asset tokenization work on the blockchain. They set the rules for how assets are created, owned, and transferred.

Once these rules are written into the contract, actions like issuing tokens or transferring ownership happen automatically. There is no need for manual handling every time.

In real world asset tokenization development, smart contracts help keep everything consistent by making sure transactions follow the same rules each time.