Real-world asset (RWA) tokenization is anticipated to experience substantial growth over the coming five years, with assets under management potentially exceeding $600 billion by 2030, according to recent reports from major traditional financial institutions.
Boston Consulting Group (BCG), in a report released on Oct. 29, described RWA tokenization as “the third revolution in asset management.” David Chan, managing director and partner at BCG, highlighted increasing interest in tokenized funds, saying, “We’re observing a rising demand from investors for tokenized fund options.”
BCG’s report, created in collaboration with Aptos Labs and Invesco, projects that by 2030, tokenized assets could make up 1% of global mutual fund and ETF assets under management. This would translate to more than $600 billion in tokenized fund AUM within the next seven years.
The sector might expand up to fiftyfold by 2030. Chan noted that regulated digital assets, including stablecoins, tokenized deposits, and central bank digital currencies (CBDCs), could accelerate this trend further as they become more prevalent.
State Street Global Advisors also emphasized the potential for tokenized bonds to lead the shift, noting that bonds’ structural characteristics make them ideal for blockchain-based issuance. In an October report, State Street researchers explained that the recurring costs and complexity of bond issuance make them well-suited for the cost-saving automation offered by tokenization. Elliot Hentov, head of macro policy research, and Vladimir Gorshkov, a macro policy strategist, pointed out that blockchain technology could also streamline markets requiring high trading speeds, like repos and swaps.
The report indicated that while tokenization holds transformative potential for private equity funds, public equities may see slower adoption as traditional processes currently function efficiently. Real estate and private equity tokenization may also face notable challenges, while commodities show promise for direct ownership, albeit with regulatory hurdles.
This month, the Financial Stability Board also weighed in on RWA tokenization, observing that, though adoption remains limited, it is growing. Most tokenized assets today are tied to government debt, equity stakes in debt funds, payment tokens, and commodities.
On Oct. 29, industry analytics platform rwa.xyz commented on the recent surge in RWA-focused research by financial institutions. The platform shared that off-chain RWA values have risen to $13.3 billion—a 60% increase so far this year.
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