In this episode of Talking Tokenization, Jacquelyn Melinek speaks with Thomas Cowan, head of tokenization at Galaxy, about how blockchain technology is upgrading decades-old financial infrastructure and why institutional commitment to tokenization remains strong, despite crypto market volatility. Thomas explains how tokenization connects information and value the way physical cash does, why the convergence of regulatory clarity, technical maturity, and institutional presence is creating unprecedented momentum, and how Galaxy's partnership with State Street demonstrates traditional finance's long-term commitment to onchain capital markets.

He explains why understanding the "singleness of money" matters as stablecoins proliferate, how tokenization will upgrade the existing financial system, and why price action no longer dictates institutional tokenization strategies heading into 2026.

This episode is sponsored by Securitize, the proven leader in tokenized funds, equities, and private markets. Discover more at securitize.io.

TIMESTAMPS

(0:00) – Intro

(1:21) – Defining tokenization

(1:40) – Connecting information and value like physical cash

(1:59) – Instant settlement vs credit card transactions

(2:23) – Thomas's background at Paxos, Ripple, and Boston Fed

(2:44) – Backend financial networks are 50-60 years old

(3:07) – Tokenization upgrades rather than upends the system

(3:26) – Understanding the singleness of money concept

(4:03) – Why all dollars aren't equal on the backend

(4:40) – Stablecoin explosion in 2026 and dollar fungibility

(4:59) – Comparing stablecoin reserves to bank deposits

(5:47) – Why CBDCs, real-time payments, and stablecoins will coexist

(6:05) – What tokenization unlocks beyond instant settlement

(6:38) – Tech disruption: improving processes then new use cases

(6:48) – Three pillars: regulatory clarity, tech maturity, institutions

(9:03) – Why this cycle feels different

(10:22) – Balancing short-term narratives with long-term conviction

(10:56) – Advice for crypto builders navigating uncertainty

(11:47) – Galaxy's infrastructure and onchain capital markets

(14:03) – Building capital markets within a bank

(15:15) – Why blockchains are more than database upgrades

(16:39) – Smart money deploying capital onchain

(18:38) – 24/7 global markets and reducing settlement risk

(20:25) – Building institutional-grade infrastructure

(21:58) – Stablecoins and tokenized funds leading product-market fit

(23:42) – Industry maturation beyond crypto-native use cases

(25:04) – Bridging traditional finance with crypto-first tech

(26:48) – How different institutions approach tokenization

(29:01) – Standardization enabling innovation

(30:44) – Traditional finance bringing new ideas to Galaxy

(31:57) – Regulatory tailwinds and institutional curiosity

(32:49) – What success looks like for Galaxy in 2026

(33:54) – State Street partnership and tokenized money market fund

(34:51) – Traditional finance bringing unexpected use cases

(35:42) – Institutional long-term planning vs crypto short-termism

(36:22) – Price action no longer shifts institutional sentiment

(37:06) – Industry reaching maturation

(37:44) – Go deep on Twitter and Discord to understand the tech

ESSENTIALS

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Note: This podcast is for informational purposes only. Views shared are opinions, not financial advice. The host or guests may have financial interests in discussed content.