6 Things to Consider When Choosing Tokenization Services
Evan Vandenberg
May 12, 2023
5 min read

6 Things to Consider When Choosing Tokenization Services

Tokenization providers must deliver a secure, scalable, and compliant service to produce value

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A 2020 report clocked the total value of the tokenized item market at over $18 billion USD, a large figure considering the relatively short time that tokenized items have been mainstream. Brands and businesses have clearly taken note of the growth potential that tokenizing items can bring, but penetrating the market without direction can be a costly disaster.

Instead of scrambling for a strategy, tokenization services give brands an accessible pathway to tokenizing and leveraging their items through partnership. However, brands must first vet a variety of tokenization services to determine which partner can deliver the security and scale necessary for success.

Key Takeaways
Opt for a tokenization service that can scale to meet your brand's growth and future plans for tokenization.
Choose a tokenization partner with a proven track record and a deep understanding of the tokenization process and regulatory landscape.
Careful consideration of these factors will help brands choose the right tokenization partner, resulting in a successful and long-lasting partnership.


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Experience and Expertise

One of the most important factors to consider when selecting a tokenization service is the partner's experience and expertise in the field. A proven track record of successfully tokenizing items indicates that the partner understands the intricacies of the tokenization process, as well as the regulatory landscape. This knowledge is crucial, as it ensures that the brand's items are tokenized in a manner that adheres to all relevant laws and regulations.

All reputable tokenization services will provide some form of onboarding or demo program that highlights the value the service can create. During this process, it’s important to ask the tokenization service for examples of other companies that it has worked with in the past, and the results that those companies have experienced. Use that information to determine if the tokenization service is well-equipped to work with a company of your size and scale.


The security of a tokenization service is of paramount importance, as it directly impacts the protection of customer data and the brand's reputation. A reliable tokenization partner should employ security measures such as encryption to safeguard customer data. Additionally, the partner should be able to provide assurances that the tokenization process will not expose the brand to any security risks.

Additionally, partners will need to ensure the safe handling of physical items that have been tokenized. The partner should offer insurance for physical items, keep them under surveillance,  and keep them in a climate-controlled environment. Doing so will mitigate the risks both the physical and digital aspects of the item face.


Compliance with all applicable laws and regulations is a non-negotiable aspect of any tokenization service. For example, tokenized items may cause securities violations in the US if they’re handled incorrectly, in cases such as pre-release sales or where royalty payments are concerned. A compliant tokenization partner will help the brand navigate the complex regulatory landscape, ensuring that all tokenization activities are conducted in accordance with relevant rules and guidelines. This not only protects the brand from potential legal repercussions but also fosters trust and credibility with customers and stakeholders. Ask potential tokenization partners about their expertise in ensuring regulatory compliance, and if they can speak to any specific requirements in your primary operating region.

Learn more about how we aim to establish trust in web3 by reading our comic book.


As a brand grows, so too will its tokenization needs. A scalable tokenization partner should be able to accommodate this growth, providing services that can adapt to the brand's changing requirements. This includes the ability to handle increased tokenization volume, as well as the flexibility to support the brand's future plans for tokenization.

Examine the list of brands that your potential partner has worked with to determine whether or not they’re able to handle your current and projected tokenization volume. Doing so will help your brand avoid unexpected roadblocks in the future.

Customer Service

Excellent customer service is a crucial aspect of any successful partnership. A tokenization partner should be responsive to the brand's needs, addressing any concerns or issues that may arise in a timely and efficient manner. This ensures that the brand feels supported throughout the tokenization process and that any potential issues are swiftly resolved.

Culture and Values

Beyond the tangible aspects of a tokenization service, it's important for brands to consider its culture and values. A partner that shares the brand's vision for the future of tokenization and is committed to working collaboratively to achieve these goals is more likely to result in a successful and enduring partnership. Ask your potential partner for their vision of web3’s future and how they see tokenized items affecting the global economy. Their response will give you ample insight into their compatibility as a business partner.

Choosing Between Tokenization Services

Tokenization is a complex process that requires careful consideration of various factors when selecting a service provider. By evaluating a partner's experience, security, compliance, scalability, customer service, and alignment with the brand's culture and values, brands can make an informed decision and choose a partner that will help them achieve their tokenization goals.

At Dibbs, we pride ourselves on our deep expertise and commitment to empowering our partners to navigate the tokenization space with confidence. By working collaboratively, we aim to create innovative solutions that address pain points, open new doors, and enable our partners to grow and thrive in the rapidly evolving world of digital items. Schedule a demo today to learn more.

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Evan Vandenberg

Evan Vandenberg is the Co-Founder and CEO at Dibbs. Evan has been working in the NFT space full-time since 2018 and collecting since 1995.

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