As stablecoins take center stage in regulatory discussions and tokenization moves closer to becoming a common practice in institutions, the crucial work of integrating traditional assets onto blockchain networks continues unobtrusively.
Dave Hendricks, the founder and CEO of Vertalo, has dedicated years to building this essential infrastructure. A serial entrepreneur with successful ventures including LiveIntent and CheetahMail, along with experience at Oracle and Arthur Andersen, Hendricks drives Vertalo’s mission to modernize transfer agency processes and tokenization for real-world assets at scale.
In this Q&A, he cuts through the clutter surrounding crypto regulations, shares insights on why stablecoins became the on-ramp in 2025, and discusses what’s needed for tokenized securities and private assets to evolve to the next level.
When we first spoke in 2023, you reacted to PayPal’s introduction of a new stablecoin on the Ethereum blockchain. Now, Visa is set to unveil a stablecoin advisory. How do you assess the progress we’ve made regarding RWAs, tokenized securities, and stablecoins?
Hendricks: Clearly, we’ve made significant strides since early 2023. Three years prior, discussions around stablecoins were still anchored in the usage models from the last cycle’s DeFi borrowing and lending protocols. Now, stablecoins have risen to prominence as a hot-button issue in crypto, especially following the Genius Act, which prohibits banks from paying interest on stablecoins.
RWAs have advanced considerably but still represent only a tiny fraction of the potential markets, with vigorous activity in the specific categories I term Institutional (including Treasuries and Private Permissioned REPOs) and Marginal (Layer 1s issuing non-recourse tokens without underlying collateral). Institutional RWAs lead the way, but much of this activity remains federated and private-permissioned, inaccessible to most prospective investors in RWAs, especially RIAs or individual investors. Conversely, I’d say a lot of the Marginal RWAs are open to anyone comfortable with using a digital wallet, though these products are unlikely to satisfy those looking to safeguard principal or achieve stable returns.
While tokenized equities might dominate discussions in 2026 thanks to the SEC and the forthcoming Clarity Act, stablecoins have taken center stage in 2025 as a straightforward entry point for major institutions — both banks and non-banks — into the crypto space fueled by Genius. With banks focusing heavily on deposits and payments, their inclination towards stablecoins is unsurprising, yet they find themselves barred from issuing yield-bearing stablecoins. This irony is notable as many expected the Genius Act to be a boon for banks and their lobbyists.
Vertalo keeps a reserve of ETH for covering fees related to the creation of tokenized share ledgers on Ethereum. What changes have occurred for the company in the last year?
Hendricks: As possibly the sole true software company concentrating on digital transfer agency and integrated tokenization, Vertalo maintains a distinctive approach compared to most so-called tokenization firms. Since we are not a broker-dealer and do not create investment instruments on our own behalf — only for our clients — we’ve noticed a significant increase in inbound inquiries from clients seeking to avoid partnerships with firms that might compete against them. Clients approach Vertalo with specific challenges that third-party platforms and consulting firms struggle to address, and they can trust that, as a software entity, we aren’t reducing their earnings by taking a cut from each transaction.
We’ve stayed committed to this strategy since refocusing on Enterprise Software in mid-2022.
What current trends catch your interest as we approach 2026?
Hendricks: The most compelling trend is the resurgence of interest in tokenizing and packaging private equity. As a firm dedicated to converting illiquid investments into tradeable, transferable, and fractional instruments, we’re excited that the market is finally recognizing what we foresaw nearly a decade ago: Distributed Ledger Technology is a transformational breakthrough for asset and wealth management, particularly in the distribution and transference of these new financial products.
This year, the White House’s crypto-related announcements — including a federal Bitcoin reserve (which amounted to little), an end to SEC oversight of crypto, and the inclusion of digital assets in 401(k)s — seem disconnected from the core mission of Bitcoin and other blockchain networks. Has the industry veered off course?
Hendricks: Every few years, the ‘crypto’ sector goes through a phase of collective hysteria over something new. People abandon their tasks, rush to get involved, the space grows crowded, some face losses, tempers flare, and complaints arise that things have changed from the original vision, causing dissatisfaction. This cycle is no different. The administration is helping to normalize standard activities, while less scrupulous players will continue to rise and fall. Nothing unprecedented!
