Tokenized Real-World Assets (RWAs) are on the rise, with recent data indicating that they are approaching a $300 billion milestone much earlier than expected. According to Token Terminal, this milestone was projected to be reached by 2030, but it seems that the market is moving faster than anticipated. Another report by RedStone Finance suggests that RWAs on-chain could reach as much as $30 trillion by 2034.
While stablecoins like USDT and USDC are leading the way in asset tokenization, Ethereum and Tron are emerging as the big winners in this space. However, it’s important not to overlook the broader trend: stablecoins may be at the forefront, but other types of assets are steadily gaining traction.
On-chain funds, treasuries, and bonds are all playing a significant role in reshaping capital markets. These assets are moving from traditional bank vaults to global blockchain networks that operate 24/7, offering increased liquidity and efficiency.
Tokenized RWAs encompass more than just traditional assets like dollars and stocks. Coinbase recently announced the launch of Mag7 + Crypto Equity Index Futures, a US-listed futures product that combines traditional equities with crypto exposure. Additionally, government bonds, tokenized money-market funds, gold tokens, and fractionalized real estate shares are becoming increasingly prevalent.
Commodities are also being tokenized, with digital gold, tokenized oil, silver, agricultural goods, and carbon credits being among the assets being represented on the blockchain. BlackRock CEO Larry Fink has referred to tokenization as a “revolution” in investing, envisioning a future where every asset can be tokenized and traded globally with instant settlement.
Institutional adoption of tokenized RWAs is on the rise, with McKinsey and Token Terminal reporting that these assets are set to double in size as funds and treasuries transition to blockchain platforms. This shift marks a significant change in the financial landscape, as traditional assets become more accessible and tradable on decentralized networks.
The move beyond stablecoins signifies a new era for capital markets, offering 24/7 access to traditional financial assets and democratizing investment opportunities through fractional shares. Transactions are traceable and programmable, with assets managed directly on decentralized platforms, enhancing liquidity and efficiency.
As the tokenization wave continues to evolve, assets like real estate, private credit, and other markets are likely to be tokenized in the future, creating a more open, frictionless, and unstoppable financial ecosystem. The $300 billion milestone is not just a measure of growth but a signal of the transformative power of blockchain technology in reshaping the way finance operates globally.