And I agree with you. It will make things slightly more efficient.

But that all can be done with current technology as well and one cannot remove 3rd party dependency, which limits the efficiency increase:

Regulation requires that asset can be seized., how else can it be enforced. Thus one needs to put a 3rd party in charge of having control over all the assets. This is a layer that needs to be above the core blockchain since here only private keys matter.

Example: Coinbase USDC, which is a stable coin that can be redeemed via coinbase. However coinbase can freeze any asset, meaning not allow an account transact in USDC.

This makes it so that it is now iffy for someone to accept USDC that is not from a whitelisted account. For instance i would never accept USDC from a rdm stranger, because they could have acquired it illegally which then would make it so that coinbase could take the funds away from me.

So USDC are useful, they allow me to trade on exchanges and move USD across the blockchain between trusted parties. But they are not like cash or bitcoin in the sense that they are trustless.

Any other security on the blockchain will work the same way.

Now for coinbase the USDC makes everything simpler, as moving cash now becomes digital and that will be easier than making normal bank transactions. So yes there is value. But it is not revolutionary and does not take advantage of the core value a blockchain provides.