The core of the tokenization boom is the explosive development of real-world asset (RWA) tokenization, which involves mapping traditional assets such as real estate, government bonds, and clean energy facilities into digital tokens on the blockchain. By 2025, this boom is particularly prominent in the global financial sector, characterized by a surge in the market, the entry of major players, and the coexistence of risks and opportunities, as detailed below:
1. The market size is experiencing explosive growth: By 2025, the RWA tokenization market is expected to grow rapidly, with the total amount of tokenized assets surpassing $24 billion by June, an 85% increase compared to the end of 2024, with U.S. Treasury bonds and private credit accounting for 92%. Standard Chartered Bank estimates that the real-world asset tokenization market could reach as high as $30.1 trillion in the next decade, presenting considerable business opportunities.
2. Financial institutions are scrambling to position themselves: Global financial giants are entering the market, with Franklin Templeton launching a tokenized money market fund in Hong Kong in the asset management sector, and BlackRock's BUIDL fund surpassing $500 million in size within six months; in the banking sector, Standard Chartered has launched institutional-level digital asset custody services, and China Merchants International has also issued a tokenized U.S. dollar money market fund with impressive performance. Asian startups are also making strides, such as Thailand's Amber focusing on tokenization of clean energy debt, and Evolve specializing in tokenization of renewable energy infrastructure.
3. Advantages and application values are highlighted: Tokenization allows investors to skip layers of intermediaries and obtain auditable asset ownership directly through blockchain, while also allowing flexible segmentation and trading of tokens. Smart contracts can achieve automatic distribution of earnings. At the same time, it can reduce transaction costs, speed up settlement, and support 24-hour trading. For example, the monthly settlement volume of stablecoins has reached $12.5 trillion, more than doubling from a year ago, validating the feasibility of on-chain payments.
4. Risks continue to be exposed under the wave: From a regulatory perspective, there is insufficient cross-jurisdictional regulatory coordination, making it often difficult for investors to clarify their ownership of underlying assets, and they also face counterparty risks from token issuers. In addition, tokenized assets are closely linked to the crypto market, making them susceptible to spillover sell-offs, and smart contract vulnerabilities are frequent, with 17 related incidents occurring in the first half of 2025, leading to potential losses exceeding $380 million. Institutions such as the Bank for International Settlements have also warned that these issues may exceed current regulatory and risk management capacities.
5. Differentiated policy environments boost the wave: Hong Kong and Singapore in Asia have established clear regulatory frameworks, providing clear access paths for compliant institutions, becoming important testing grounds for tokenized products; the Trump administration in the United States has introduced several favorable policies, such as establishing digital asset reserves and allowing retirement plans to invest in cryptocurrencies, releasing a large amount of institutional funds. Although mainland China has banned most crypto trading, it is exploring enterprise-level blockchain applications through the blockchain service network.
