CRYPTO 101 Ep. 699

Tokenized Securities and Global Crypto Adoption with Jesse Knudsen of Bitfinex

Date: January 11, 2026
Hosts: Bryce Paul & Brendan Viehman
Guest: Jesse Knudsen, Head of Operations, Bitfinex Securities

Overview

In this episode, Bryce Paul and Brendan Viehman are joined by Jesse Knudsen, Head of Operations for Bitfinex Securities. The conversation dives deep into the world of tokenized securities, the rapidly shifting landscape of global crypto adoption, and how Bitfinex Securities is positioning itself at the forefront of real-world asset (RWA) tokenization. The episode offers listeners a global perspective, focusing on the regulatory, technological, and practical ramifications of tokenization in both developed and emerging markets.

Key Discussion Points & Insights

1. Jesse Knudsen’s Journey into Crypto

• Background: Canadian by origin, Jesse recounts how a move to Taiwan for language studies eventually led him into traditional finance, with pivotal roles at Barclays and Macquarie across Asia.
• Bitcoin Interest Sparked (03:06):
  • Post-2008 financial crisis disillusionment led Jesse and colleagues to explore Bitcoin as an alternative, feeling mainstream finance hadn’t fixed systemic issues.
  • Hosted early conferences with luminaries like Adam Back and the CEO of Tether, helping bridge institutional interest in digital assets.

“It didn't feel like any of the problems that blew up during the financial crisis were actually solved ... and we just stumbled across Bitcoin. ... Eventually began to be the Bitcoin guy within the bank.”
— Jesse Knudsen (03:27)

2. Changing Institutional Attitudes toward Crypto

• From Skepticism to Acceptance (05:50):
  • Noted the transformation of views at major institutions: from Jamie Dimon’s notorious skepticism to his public acknowledgment that “it’s here to stay.”
  • Today, “nobody says that bitcoin is going to go to zero anymore.” (06:20)

“You just don’t hear that. ... Traditional finance’s consensus has really caught up to this view that we had a couple of years ago.”
— Jesse Knudsen (07:14)

3. What is Bitfinex Securities?

• Role in the Ecosystem (11:48):
  • Serves as the RWA (Real-World Asset) and STO (Security Token Offering) platform in the broader Tether and Bitfinex group.
  • Dual focus on primary offerings (raising capital) and secondary market trading.
  • Aims to eliminate middlemen, directly connecting issuers and investors.
  • Integration with Tether’s new tokenization arm, Hadron.

“Our whole ... idea is to put investors and issuers in much more direct contact ... efficiently and faster and cheaper.”
— Jesse Knudsen (11:59)

4. The Future and Benefits of Tokenization

• Market Inevitability & Benefits (13:11):
  • Real-time settlement and true 24/7, global trading will drive institutional adoption.
  • Empowers ordinary investors with direct custody and peer-to-peer trading opportunities, reducing reliance on intermediaries.
  • Pushes inclusivity, especially important in emerging markets with limited capital access.

“It’s a no brainer ... Real time settlement, 24/7, 365 trading ... For investors, it’s regaining more control over your assets.”
— Jesse Knudsen (13:14)

• Global Inclusion:
  • Emerging markets stand to benefit most—places where capital markets are underdeveloped and banks don’t lend, tokenized assets can leapfrog traditional infrastructure.

5. Jurisdictional Differences and Regulatory Innovation

• New Frontiers (15:42):
  • Bitfinex Securities operates out of Kazakhstan’s AIFC and El Salvador, taking advantage of progressive regulatory environments and a lack of entrenched incumbents.

“You get these kind of commercially viable regulatory oversight. So you can actually grow a business and get big ... and hopefully eventually become accretive to the economy.”
— Jesse Knudsen (16:50)

• Policy Vision:
  • Policymakers in these regions have embraced innovation due to firsthand experience with bitcoin mining (Kazakhstan) or national digital strategies (El Salvador).

6. Global Corporate and Retail Perspectives

• Different Needs, Different Approaches (18:12):

  • Western markets view crypto as supplemental; in much of Asia and Latin America, crypto is a practical necessity for moving money and raising capital.
  • For many, “Tether ... is just a tool. They could just move assets around really quickly, really freely and with little hassle.”

• RWA as a Bridge:

  • In regions with broken banking systems or thin capital markets, the true value of tokenization emerges: access, efficiency, and equality.

7. Near-Future Catalysts and Adoption Hurdles

• From Grind to Quantum Leaps (20:26):
  • Much of the shift will be gradual, as generational change brings digital-native users into power.
  • Tokenized markets offer a superior user experience—for example, real-time settlement versus delayed settlement in traditional finance.
  • There are opportunities for giant private crypto companies to issue tokens without tapping conventional listing venues like Nasdaq.
  • Anticipates major public companies will soon issue tokenized depository receipts, broadening global investor participation.

“I think part of this is just a grind ... but there definitely will be quantum leaps and exciting products that come to market.”
— Jesse Knudsen (20:26)

8. The Long Game for Tokenized Securities

• Outlook (23:41):
  • Predicts decades of evolution, with conventional and tokenized securities markets operating side-by-side before tokenized models prevail.
  • Bitfinex takes a non-US-centric approach, targeting emerging markets in line with Tether’s global-first expansion.
  • US will likely follow when proven models succeed abroad.

“I think eventually what we’ll see happen is similar to ... Tether got big globally and then they looked for a way to incorporate it. The same thing could happen with security tokenization.”
— Jesse Knudsen (24:09)

Notable Quotes & Memorable Moments

• On Learning Chinese and Life in Taiwan:

  • “I've actually been in Taiwan now longer than I was ever in Canada. ... More than half my life, which is pretty surreal.”
    — Jesse Knudsen (01:41)

• On Bitcoin’s Staying Power:

  • "Nobody says that bitcoin is going to go to zero anymore. You just, you just, you don't hear that."
    — Jesse Knudsen (06:20)

• On Regulatory Environments:

  • “We have license 0001 in El Salvador—which is pretty cool.”
    — Jesse Knudsen (15:47)

• On Tokenization’s Role in Emerging Markets:

  • “People just don’t have access to higher-quality investment products ... and those jurisdictions also really are hungry for capital. The banks just don’t lend.”
    — Jesse Knudsen (14:31)

• On Industry Patience:

  • “People in crypto are used to moving super fast ... but I think in the real world things do take a little bit more time.”
    — Co-Host (22:43)

Timestamps for Key Segments

• Jesse’s Background and Crypto Origin Story: 01:41 – 05:50
• Institutional Shifts in Crypto Perception: 05:50 – 07:31
• Introduction to Bitfinex Securities: 11:25 – 12:39
• Tokenization Trends & Benefits: 12:39 – 15:23
• Jurisdictional Strategy & Regulatory Perspectives: 15:42 – 17:17
• Global Corporate and Retail Needs: 18:12 – 19:42
• Future Catalysts and What’s Next: 19:42 – 22:38
• The Decades-Long Game: 23:41 – 24:45

Closing & Resources

• Follow Bitfinex Securities:
  • Twitter: [@BitfinexSec]
  • Platform: [Visit the Bitfinex Securities website]
  • Jesse: “Look for Bitfinex Securities on Twitter. Come check out the platform. All our information is up there.” (25:06)

Tone: Conversational, insightful, and globally minded, this episode offers clarity for both beginners and seasoned crypto investors, highlighting trends at the intersection of finance and blockchain with a focus on practical, real-world impact.

This summary omits all advertisements, intros, and outros for a direct focus on the conversation’s substance and value.