-Conversely, many tokens are used to represent _extrinsic_ things, like real-estate, corporate voting shares, trademarks, gold bars. The ownership of these items, which are not "within" the blockchain, is governed by law, custom and policy that are separate from the consensus rules that govern the token. In toher words, token issuers and owners may still depend on real world non-smart contracts. As a result, these extrinsic assets carry additional counterparty risk because they are held by custodians, recorded in external registries, or controlled by laws and policies outside the blockchain environment.
0 commit comments