Journalist
Tanzeel Akhtar
Journalist
Tanzeel Akhtar
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Hedera Hashgraph, often referred to as an “enterprise-grade” distributed ledger network, is rapidly gaining traction with global financial institutions. Its combination of robust governance, regulatory readiness, and scalable infrastructure is positioning it as a serious contender for tokenizing real-world assets (RWAs) — a space now moving from experimentation to execution.
In a conversation with Gregg Bell, Chief Business Officer at the Hedera Foundation, he outlines how Hedera’s unique governance model, institutional partnerships, and commitment to standardization are reshaping how banks and corporates approach tokenization.
Bridging Traditional Finance and Web3
“My personal history has always been about bridging traditional finance with technology,” Bell begins. “I started out on Wall Street in banking and trading, and what I see today is the future of securitization — in the form of tokenization.”
Bell recalls his early experiments in crypto credit markets: “I created the very first loans ever secured by cryptocurrency back in 2016. That gave birth to the credit markets within Web3.” He believes tokenization marks a natural evolution from those early innovations.
“When you tokenize instruments — whether securities or other forms of collateral — they become far more versatile,” he says. “You embed those assets with attributes that make them superior to traditional recorded assets. Tokenization allows assets to serve as collateral in ways that amplify purchasing power and liquidity. It’s the new architecture for credit and wealth creation.”
From Real Estate to Stablecoins: Tokenization Grows Up
Bell points to a surge in tokenized real-world assets beyond early use cases like money market funds. “On Hedera, the very first property in the Manhattan skyline — the Rivington Hotel — was tokenized just two months ago,” he notes.
“Previously, tokenization focused on yield-bearing instruments such as money market funds, seen as a kind of blockchain-based savings account. Now, we’re moving out the yield curve. Real estate offers a higher return and remains a secure collateral form, so it’s a natural next step,” explains Bell.
But Bell believes the most transformative shift isn’t just the type of assets being tokenized — it’s how the underlying cash flows are being handled. “We’re now re-plumbing the entire securities system,” he explains.
“Stablecoins enable income and payments to move through new, programmable rails. This goes beyond recording ownership on a blockchain — it’s about embedding the full life cycle of a financial instrument onto digital rails.”
Regulatory Clarity Unlocks Institutional Adoption
Bell says regulation remains the most critical enabler. “In the U.S., we’ve gone from a period of ‘regulation by enforcement’ to a more constructive tone. The SEC and Congress are now actively promoting frameworks that support tokenization.”
He highlights the GENIUS Act and other legislative efforts around stablecoins as key milestones. “These regulations enable the plumbing — not just trading — of financial instruments. That’s where the real efficiency lies.”
Outside the U.S., he sees progress in Europe, Australia, and the UK: “Regulatory clarity is reducing the risk-weighted assets institutions need to hold when adopting this technology. The floodgates are opening.”
Bell believes this clarity is ushering in a structural shift: “We’re entering a new phase — decoupling from the four-year Bitcoin halving cycle — and moving into an institutional adoption phase. That’s the train leaving the station.”
Why Hedera Appeals to Banks
Hedera’s governance council — comprising blue-chip companies like Google, IBM, Dell, Nomura, Standard Bank, Shinhan Bank, and Mondelez — provides the stability traditional finance players seek.
“You have tech giants, banks, and corporates running nodes and shaping governance,” Bell says. “That gives you enterprise-grade infrastructure — decentralized, robust, and scalable enough to handle Fortune 500 transaction volumes.”
He contrasts Hedera’s performance with that of other blockchains: “You see failed transactions, downtime, and centralized Layer 2 fixes on other networks. Many depend on cloud services that create single points of failure. Hedera is different — it’s built for scale and consistency.”
Bell resists direct comparisons but acknowledges some overlap with Ripple’s audience. “There are similarities in the addressable market,” he admits. “But Hedera has a larger footprint of live, real-world applications. For example, Kia uses Hedera for supply chain tracking, Mondelez for coupon and logistics systems, and Aberdeen for tokenizing securities. This isn’t just proof of concept — it’s production.”
ETFs Bring Institutional Legitimacy
Hedera recently became the third digital asset after Bitcoin and Ethereum to have an ETF approved for trading on the NASDAQ — a landmark moment.
“I’m quite excited about the ETF market,” Bell says. “Hedera went through the 19b-4 process with the SEC, and now there are more than ten ETFs filed by various asset managers that include HBAR exposure, either as a single asset or part of an index.”
He believes ETFs expand the buyer base for crypto exposure: “They allow traditional asset managers and retirement funds to allocate to this new category. You’re increasing awareness and access. For many investors, ETFs are the first compliant gateway into crypto infrastructure plays — and Hedera sits squarely within that thesis.”
Standardization: The Next Leap Forward
Bell explains one final pillar of Hedera’s strategy: standardization.
“We’re very excited about the work around tokenization standards like the ERC-3643, which aligns with the Tokeny and APEX frameworks,” he explains. “As securities markets begin to converge around interoperability standards, adoption will accelerate.”
Standardization, Bell says, is what separates pilots from production. “It’s the key to moving from experimentation to scale. Once regulators, custodians, and financial institutions can speak the same technical language, the entire industry moves faster.”
Looking Ahead
As tokenization reshapes the foundation of finance, Hedera’s blend of enterprise governance and technological resilience is attracting a growing roster of institutional partners.
“The future,” Bell concludes, “is one where traditional securities, payments, and credit instruments live natively on decentralized infrastructure. The world’s financial plumbing is being rebuilt — and Hedera’s governance-first approach gives institutions the confidence to join in.”
At a time when regulatory clarity and operational reliability define the next phase of blockchain adoption, Hedera is quietly emerging as the network banks trust most — not for hype, but for infrastructure that works.
Hedera (HBAR) Price Action
HBAR is trading at $0.1776, up 209% year-on-year, with a market cap of $7.54B. Despite a recent 3.9% daily dip, the token remains one of 2025’s top Layer-1 performers. Trading volume over the past 24 hours rose 18.29% to $345.9M.
The chart shows strong gains since late 2024, peaking near $0.35 before consolidating between $0.15–$0.20 in recent months. With 42.47B HBAR in circulation out of a 50B max supply, sentiment remains bullish as institutional adoption and real-world tokenization narratives continue driving attention toward the Hedera ecosystem.
https://cryptonews.com/exclusives/hederas-gregg-bell-on-how-its-governance-model-is-winning-over-banks/
