Standard Chartered Forecasts Tokenized Real-World Assets to Reach US$2 Trillion by 2028

Global investment bank Standard Chartered projects that the market value of tokenized real-world assets (RWAs) will surge from approximately US$35 billion today to nearly US$2 trillion by the end of 2028. This projection represents nearly a 50-fold increase, underscoring the vast potential of tokenization in expanding global financial access and liquidity.

In a research report released by Standard Chartered’s Digital Assets division, the bank estimates that the market capitalization of tokenized RWAs excluding stablecoins will reach US$2 trillion within the next four years. Currently, the total value of tokenized assets stands at around US$35 billion.

Of the projected figure, about US$750 billion is expected to come from the tokenization of money-market funds (MMFs), which have been a major driver of stablecoin adoption among corporate entities. Another US$750 billion is anticipated to come from tokenized listed equities, while the remaining US$500 billion will comprise various instruments such as investment funds, real estate, commodities, corporate debt, and private equity—segments traditionally known for their limited liquidity.

Drivers Behind the Surge

Standard Chartered identifies the success of stablecoins as a foundational catalyst for the expansion of tokenized real-world assets.
Stablecoins digital tokens designed to maintain a fixed value relative to fiat currencies like the U.S. dollar have become a “liquidity anchor” for the decentralized finance (DeFi) ecosystem.

Tokenization, in essence, is the process of converting ownership rights of physical or financial assets such as property, stocks, or bonds into digital tokens recorded on a blockchain.
This mechanism enables fractional ownership, faster cross-border transactions, and greater transparency and efficiency compared to traditional financial systems.

In investment terms, RWA tokenization can be seen as a “relisting” of traditional assets on blockchain-based exchanges.
This model allows both retail and institutional investors to gain exposure to instruments that were previously inaccessible, while enhancing liquidity and portfolio diversification.

Challenges and Risk Considerations

Despite its promising outlook, Standard Chartered warns that the sector still faces major regulatory and liquidity challenges. The lack of legal clarity and oversight mechanisms surrounding tokenized assets could slow the pace of market growth. Furthermore, academic studies have found that a large proportion of existing RWAs still exhibit low trading volumes, indicating that market liquidity remains far from optimal.

Implications for Global Financial Markets

For digital asset participants and investors, this forecast signals a growing opportunity for blockchain and DeFi to serve as new channels for exposure to real-world assets. For instance, investors could soon hold tokens representing fractions of commercial real estate or corporate bonds without undergoing lengthy, conventional processes. However, a 5,600% increase in market value from current levels does not guarantee that every tokenization project will be profitable. Risks such as limited liquidity, opaque valuation, and regulatory compliance issues remain critical factors to consider.

Toward a Tokenized Financial Future

If Standard Chartered’s projections materialize, the rise of tokenized assets could fundamentally reshape the global financial landscape. With a potential market value reaching US$2 trillion, the traditional finance (TradFi) sector is likely to undergo major transformation as the DeFi and blockchain ecosystems continue to mature through 2028.