Wall Street Drives $24 Billion Tokenization Boom in Real-World Assets

Generated by AI AgentCoin World
Friday, Aug 1, 2025 1:35 pm ET1min read
Aime RobotAime Summary

- Major Wall Street institutions are tokenizing $24B in real-world assets by 2025, led by BlackRock, J.P. Morgan, and others.

- Ethereum and Arbitrum dominate the space, with Robinhood planning stock tokenization on these blockchains.

- Tokenization expands into real estate, art, and U.S. Treasury debt, supported by regulatory engagement like Ethereum’s SEC dialogue.

- Argentina’s grain tokenization pilot and projects like USDO/TZERO Chain demonstrate practical applications and infrastructure growth.

- The White House recognizes RWA tokenization’s strategic importance, signaling a shift toward decentralized finance models.

Real-world asset tokenization is rapidly gaining momentum as major Wall Street institutions leverage blockchain technology to transform traditional finance. Over $24 billion in real-world assets have been tokenized and deployed on public blockchains by 2025, representing a more than threefold increase since the beginning of 2023. Key players such as BlackRock, J.P. Morgan, Franklin Templeton, and Siemens are leading this shift, signaling a growing institutional acceptance of digital infrastructure.

Ethereum and Arbitrum have emerged as the dominant networks for asset tokenization, reflecting the industry’s preference for scalable and secure blockchain platforms. Robinhood CEO Vlad Tenev has signaled the firm’s intention to tokenize stocks and develop new trading networks on these blockchains, further amplifying institutional interest in the space.

The rise of tokenized assets is reshaping capital deployment strategies across multiple sectors, including private credit, U.S. Treasury debt, and equities. Tokenization is also expanding into real estate and art, with platforms like Polygon and Sotheby’s participating in the movement. This trend is supported by regulatory engagement, including Ethereum’s recent dialogue with the SEC, which indicates a potential shift in policy to accommodate the growing sector.

Innovative projects such as USDO, a yield-bearing stablecoin backed by tokenized U.S. Treasury bills, and TZERO, which is launching a blockchain specifically for asset tokenization, highlight the infrastructure developments driving this transformation. The White House has also recognized the strategic importance of RWA tokenization, featuring Ondo Finance as a key player in the space.

Beyond institutional finance, tokenization is finding practical applications in credit systems. A pilot project in Argentina is using grain tokenization to unlock credit for smallholder farmers, demonstrating the technology’s potential to streamline collateral management and reduce operational costs.

The convergence of traditional finance and blockchain is no longer speculative—it is operational. As major

and regulators continue to explore the benefits of tokenization, the financial landscape is evolving toward a more efficient, interconnected, and decentralized model. The continued growth of this market suggests a future where asset ownership, management, and trading are fundamentally redefined through digital means.

Source: [1] Tokenized Shares May Be the Next Big Move by These (https://www.mitrade.com/au/insights/news/live-news/article-8-1005151-20250801)

[2] BONK Drops 5% Amid Institutional Selloff (https://m.economictimes.com/crypto-news-today-live-01-aug-2025/liveblog/123028555.cms)

[3] OpenEden: Has Stablecoin Summer Peaked? (https://www.coindesk.com/sponsored-content/openeden-has-stablecoin-summer-peaked)

[4] TZERO To Launch TZERO Chain And Utility Token (https://www.barchart.com/story/news/33790969/tzero-to-launch-tzero-chain-and-utility-token-to-power-regulated-asset-tokenization-at-scale)

[5] Ondo Finance Featured In White House Report As Key (https://www.mitrade.com/au/insights/news/live-news/article-3-1002917-20250801)

[6] Trireme on X: "New Crypto META: The Rise of

(https://x.com/triremetrading/status/1950930088846844128)

[7] Digital Gold Rush: Tether Gold Surges, Institutions Double (https://www.linkedin.com/pulse/digital-gold-rush-tether-surges-institutions-double-down-m3hqf)

[8] Pilot Launch | Leveraging Grain Tokenization to Unlock (https://medium.com/@MercyCorpsVentures/pilot-launch-leveraging-grain-tokenization-to-unlock-credit-for-argentinas-smallholder-farmers-2092ff060d9c)

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