XRP News Today: Bitwise CIO Predicts 1-5% Market Penetration for Tokenization in Years

Matt Hougan, the chief investment officer (CIO) of crypto asset management firm Bitwise, has made a significant prediction about the future of tokenization. In a recent blog post, Hougan anticipates a rapid transition of traditional assets, such as stocks and bonds, onto blockchain systems. This shift, he believes, could occur much faster than previously thought, potentially achieving 1-5% market penetration within a few years. Hougan attributes this acceleration to major financial firms like Robinhood and Tradeweb, which are already positioning themselves for this transition.

Hougan suggests that this level of market penetration could translate into trillions of dollars, making it more impactful than any other crypto application or asset, including Bitcoin. He notes that the narrative around tokenization is likely to accelerate, with more firms studying and adopting this technology. Hougan expects a wave of additional announcements this fall, as other major financial institutions follow suit.

Hougan identifies several crypto projects that could benefit from this trend, including Ethereum, Solana, XRP, and Chainlink. He suggests that investing in a basket of these top layer-1 blockchains and infrastructure plays could provide investors with exposure to the potential boom in real-world asset (RWA) tokenization.

Hougan also references Larry Fink, CEO of BlackRock, who highlighted the massive growth potential for tokenization of RWAs in his 2025 annual shareholder letter. Fink stated that every stock, bond, and fund—every asset—can be tokenized. If Fink's prediction holds true, Hougan believes the tokenization market could grow over 4,000x in the coming years. This growth would significantly impact the crypto market, with Ethereum, Solana, XRP, and other related projects poised to benefit from the increased adoption of tokenization technology.