The market for tokenized assets has officially crossed the $50 billion mark, signaling a significant shift in the financial landscape. According to a new report titled “RWA Tokenization: Key Trends and 2025 Market Outlook” by Brickken, tokenized real estate leads the sector with $30 billion in assets, further cementing its role in the industry’s rapid expansion.
A $2 Trillion Market by 2030
McKinsey projects that tokenized assets could reach a staggering $2 trillion market capitalization by 2030. One of the major drivers behind this growth is the rise of debt tokenization, particularly in Europe. Germany currently dominates this sector, accounting for nearly 60% of tokenized bond issuance.
The European Investment Bank’s (EIB) €100 million digital bond issuance on Ethereum exemplifies this accelerating trend. This momentum is largely fueled by the European Union’s progressive regulatory framework, which has provided greater clarity and security for institutional investors.
Institutional Expansion in 2025
The report also anticipates a wave of new institutional entrants into the tokenization space in 2025. Coinbase Asset Management, Glasstower, and Ripple are among the companies set to introduce tokenized liquidity products, joining established players such as BlackRock, Franklin Templeton, and UBS. These developments are expected to further enhance liquidity and accessibility across multiple asset classes.
Real Estate Leading the Tokenization Boom
Real estate remains a dominant force in tokenization due to its traditionally illiquid nature. Tokenization allows for fractional ownership, improved liquidity, and more efficient collateralization, making it an attractive option for both retail and institutional investors.
Currently, over $30 billion in real estate assets have been tokenized or are in the pipeline. Notably, these tokenized real estate assets are increasingly being used as collateral on decentralized finance (DeFi) platforms, offering new avenues for liquidity and financial innovation.
Democratizing Investment Opportunities
A key advantage of tokenization is its ability to expand market access. Traditional real estate and private equity investments often require substantial capital commitments, limiting participation to institutional investors or high-net-worth individuals.
By enabling fractional ownership, tokenization lowers entry barriers, allowing retail investors to gain exposure to high-value assets, such as commercial real estate, without the typical financial hurdles.
Growth in Tokenized Liquidity Products
The increasing accessibility of tokenized investments is evident in the rise of tokenized liquidity products. Examples include Franklin Templeton’s BENJI fund and BlackRock’s USD Institutional Digital Liquidity Fund, which cater to both institutional and retail investors. These products showcase the growing demand for digitized assets and reinforce the long-term viability of tokenization in mainstream finance.
With continued institutional backing, regulatory clarity, and technological advancements, the tokenized asset market is poised for unprecedented growth, making the $2 trillion projection by 2030 increasingly realistic.
