As more institutions explore blockchain-based finance, some industry leaders say tokenized real-world assets (RWAs) could surpass $30 trillion by the 2030s. Others have questioned the projection.
In June 2024, Standard Chartered Bank and Singles predicted that RWA could reach more than $30 trillion by 2034. The story was strong in the second half of 2024, with some analysts expressing similar sentiments.
At Paris Blockchain Week 2025, a panel moderated by Gareth Jenkinson, managing editor at Cointelegraph, brought together executives from the entire Tokenization Ecosystem to discuss the future of RWA. Participants included Charles Adkins of Hedera, Dotun Rominiy of the London Stock Exchange, Embarrassment of INX, Steven Gaertner of Tiamonds, and Chief Operating Officer Michael Sonnenshein.
The majority supported the $30 trillion estimate, but Sonnenshein expressed skepticism.
The truth behind tokenization and the RWA panel. Source: Paris Blockchain Week
Securitize exec predicts more conservative trajectories of RWA
Sonnenshein, former CEO of Grayscale Investments, said it could be that tokenized assets may not reach $30 trillion. He argued that there are many “good systems” already working with traditional assets.
“At this point, it is clear that some of these assets are available to trade, so just because they could be tokenized doesn’t mean it is.
Despite being an outlier in his prediction, Sonnenshein said he is still bullish towards RWAS, adding that his feelings “doesn’t mean that tokenization doesn’t stay here.”
Sonnenshein said the space is to see a big explosion of investors looking at their wallets, not just as a place for crypto speculation, but also as “a place where they actually house their investments in the way of a brokerage or investment account.”
Related: BlackRock’s Buidl expands to Solana with tokenized money market funds for nearly $20 billion
Tokenization is not “translated well” to represent property ownership
Sonnenshein also questioned the viability of real estate as a major use case for RWAS.
In the United Arab Emirates, government agencies have made the move to link symbolization with real estate. In January, local real estate developer Damac signed a billion-dollar deal with the RWA Blockchain Mantra to tokenize real estate in the UAE.
Some spent money on tokenized real estate, but Sonnenshein raised the question of the idea. “I’m just saying I don’t think tokenization should turn to real estate here,” he said during the panel.
Management recognized the benefits of tokenizing real estate, but he insisted that this did not translate well into representing ownership.
“I’m sure there’s all sorts of efficiency that can be used to unlock blocks and eliminate man-in-the-middle, escrow, and all sorts of things in real estate. But today, I think what Onchain Economy is asking for is more liquid assets,” he added.
https://www.youtube.com/watch?v=av4beooajdg
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