Applications of Tokenization in the Architecture, Engineering, and Construction (AEC) Industry

The architecture, engineering, and construction (AEC) industry is widely known for being fragmented. In this situation, blockchain technology has been introduced as a promising solution to bring trust and transparency to the industry. As blockchain technology continues to evolve, it has embraced new capabilities and features, including Fungible-Tokens (FTs) and Non-Fungible Tokens (NFTs), which have recently drawn significant attention in various industries. Tokenization can be seen as a next-generation solution to address challenges in the AEC. However, the application of tokenization for the AEC industry has remained undeveloped. To address this gap, this study provides an overview of tokenization, followed by an investigation of its applications in the AEC industry using a literature review method. By illustrating a clear outlook of the potential advantages and challenges, the study helps to set realistic expectations over the potential improvement that tokenization can bring. This can also serve as a fundamental source for further investigation by researchers and practitioners.