The market for tokenized real-world assets continues to grow, reaching $26.5 billion. This sector shows significant potential for future expansion into the traditional financial market.
Market of Tokenized Assets
The tokenized real-world asset market has reached a size of $26.5 billion, showing a 70% growth since the beginning of the year. Institutional investors are showing interest in this area, seeking to capture a share of the traditional finance market, which is valued at $400 trillion.
Market Dynamics and Future
Recent research by Animoca Brands indicates that tokenized assets represent only a small part of the vast potential of the traditional finance market. The predominant assets are private credit and US Treasury securities, which account for about 90% of the total market valuation of tokens. Asset managers are striving to create integrated platforms for managing the tokenization processes.
Significance and Asset Variety
Tokenized assets include a wide range: private credit, treasury bonds, commodities, stocks, and alternative investment funds. This diverse range indicates significant potential for the traditional financial sector to transition to blockchain-based asset management services.
The growth of tokenized assets and their wide range open new horizons for integrating blockchain technologies into the traditional financial sector, highlighting the significance of these assets for institutional investors.
