Tokenization’s Inevitable Rise May Boost Ethereum as Assets Approach $1 Trillion

• Tokenization enables 24/7 trading and fractional ownership of assets previously illiquid.

• Regulatory pushes in the U.S. are accelerating the shift of capital markets to blockchain platforms.

• Tokenized assets have grown past $700 billion in 2025, with stablecoins contributing $300 billion and projections reaching $1 trillion.

Discover how tokenization is revolutionizing finance, overcoming traditional barriers for faster, cheaper asset management. Explore the inevitable rise of blockchain-based real-world assets today.

What is Tokenization in Finance?

Tokenization is the process of converting rights to an asset into a digital token on a blockchain, allowing for seamless transfer and ownership verification. This includes real-world assets like real estate, equities, and debt instruments, which become programmable and globally accessible. According to industry leaders, it streamlines settlement times from days to seconds while cutting intermediary costs, fostering a more inclusive financial ecosystem.

Why is Tokenization Considered Inevitable Despite Traditional Finance Opposition?

Tokenization faces pushback from established institutions concerned about market integrity and regulation. For instance, the World Federation of Exchanges highlighted risks in unregulated tokenized equities in August 2025, arguing they could disrupt traditional safeguards. Citadel Securities has similarly advocated for stricter DeFi oversight before tokenized markets expand. Yet, MoonPay President Keith Grossman counters that progress cannot be halted to preserve outdated systems. He stated, “You cannot freeze progress to protect legacy economics. Innovation does not seek permission. It forces adaptation.”

Grossman draws parallels to the media industry’s digitization two decades ago, where distribution and monetization models evolved dramatically without erasing the sector. In finance, tokenization promises similar transformation, potentially faster due to blockchain’s speed. Eli Ben-Sasson, founder of Starknet and Zcash, reinforces this, declaring, “Crypto will eat tradfi infra. And leave no crumb.” U.S. regulators are actively encouraging on-chain capital markets, underscoring the momentum. Data from RWA analyses shows tokenized markets exceeding $700 billion in value, including a $300 billion stablecoin supply, with credits like repos and U.S. Treasury debt gaining traction on-chain.

Source: X

Tokenized equities have surged with double-digit growth over the last 30 days in 2025, even amid a stagnant broader crypto market. Leading issuers such as Ondo Finance, Backed Finance with its xStocks, and Securitize are driving this expansion. On settlement layers, Ethereum leads with $335 million in volume, followed by Solana at $164 million, while Algorand and BNB Chain secure third and fourth places. Grayscale forecasts that broader tokenized assets could multiply 1,000 times by 2030, benefiting protocols like ETH, BNB, SOL, and Chainlink.

Source: RWA

Source: RWA

Source: Grayscale

Frequently Asked Questions

What Are the Main Benefits of Tokenization for Real-World Assets?

Tokenization democratizes access to assets by enabling fractional ownership and instant global transfers, reducing costs by up to 90% compared to traditional methods. It enhances liquidity for illiquid assets like real estate and ensures transparent, immutable records on blockchain, as noted by experts in the field.

How Will Tokenization Affect Traditional Financial Institutions?

Tokenization will compel banks and exchanges to adapt by integrating blockchain for faster settlements and broader reach. While initial resistance focuses on regulatory gaps, the shift promises efficiency gains, much like digitization transformed media, ultimately benefiting adaptable institutions in a tokenized economy.

Key Takeaways

• Tokenization’s Inevitability: Despite opposition from groups like the World Federation of Exchanges, blockchain innovation drives unstoppable change in finance.
• Market Growth Projections: Tokenized assets have crossed $700 billion, eyeing $1 trillion, with Grayscale predicting 1,000x expansion by 2030.
• Leading Blockchains: Ethereum and Solana dominate settlement volumes, positioning them as key players in the tokenized future—consider exploring these networks for investment opportunities.

Conclusion

In summary, tokenization of real-world assets stands as an unstoppable force in finance, propelled by regulatory support and technological efficiency despite hurdles from traditional players. As tokenized assets surge toward trillion-dollar valuations, early adopters will lead the transformation. Stay informed on blockchain advancements to capitalize on this evolving landscape and secure a position in the digital asset revolution.