Tom Schmidt, a general partner at the venture firm Dragonfly, discussed the future of on-chain finance at Korea Blockchain Week 2026. Held in Seoul from September 29 to October 1, the event focused on the intersection of tokenized real-world assets and synthetic dollar protocols.
Schmidt argues that the growth of synthetic dollars is intrinsically linked to the tokenization of traditional assets like bonds and fund shares. As more traditional instruments move on-chain, they provide the necessary components to create and support dollar-pegged products that do not rely solely on bank-held cash reserves.
Dragonfly has previously demonstrated interest in this sector through its 2023 investment in Ethena, a protocol behind the USDe synthetic dollar. The conference also featured discussions involving major industry players such as Tether and Ripple, alongside various regulatory representatives.
The event highlighted the ongoing evolution of the stablecoin market, which is diversifying into fiat-backed tokens, synthetic dollars, and local-currency options. Industry experts and policymakers emphasized that collaboration is essential for the further development of tokenized assets and cross-border payment systems.
