Tokenized stocks

The newest trend in crypto is tokenized stocks. Given everything going on, I have been following from afar but have yet to do a full deep dive into this. All that said, I am very worried at the potential downsides here.

For the most part, it seems that companies are launching tokens to mirror private company shares without actually owning the shares or having rights to them.

One of my fears is that many retail investors will be buying the token thinking they own SpaceX when in reality all they own is just a token. Without anything actually backing the token, they could be completely exposed.

The implications of companies spinning up tokens could also cause private companies to further tighten up restrictions causing a lot of downstream issues. On top of that, I fear that when something inevitably does blow up, it could be a big negative to advance the legitimacy of crypto.