The chief executive officer of the leading international investment management company VanEck, Jan van Eck, has identified a pair of significant obstacles that are obstructing the process of digitizing tangible assets. During a recent discussion with Raoul Pal, the CEO offered his perspective on this issue. He made his comments following the news that VanEck has succeeded in joining a group of 11 companies that have received authorization from the U.S. Securities and Exchange Commission (SEC) to create a spot Bitcoin (BTC) exchange-traded fund (ETF). The process of transforming tangible assets like property, artwork, or raw materials into digital tokens could transform investment approaches through enhancing liquidity, making ownership and transactions more transparent, and allowing for the division of ownership into smaller parts. Yet, the obstacles highlighted by van Eck are considerable barriers that must be tackled. The supply of liquidity demands advanced market-making strategies, while the regulatory landscape must progress to offer transparent directives and a conducive infrastructure for these advancements. The issue of liquidity persists. Van Eck identifies that the initial and most significant obstacle in the tokenization of tangible assets is the concern of liquidity. This challenge essentially revolves around determining the source of liquidity provision. Tokenization, the act of transforming ownership stakes in an asset into a digital token on a blockchain, theoretically makes it possible to tokenize any type of asset. Van Eck stated that simply having a buyer and a seller is inadequate. He made an observation: A market creator is needed for the tokenized real-world asset (RWA), and there must be an earning opportunity for the entity facilitating this market. Therefore, the creation of a tokenized RWA goes beyond just its creation; it involves establishing a system that supports its liquidity.