The Future of Tokenization: How Real-World Assets Are Shaping Finance

By Patricia Miller

2 min read

Tokenization of real-world assets is projected to reach $88 trillion by 2035, transforming global finance and asset management.

#How is Tokenization Transforming Global Finance?

Tokenization of real-world assets is making a transition from being a niche concept to a fundamental aspect of global finance. According to the Boston Consulting Group, tokenized real-world assets could soar to a staggering $88 trillion by 2035. This projection is particularly significant when you note that the current estimated value of these assets stands around $30 billion. The anticipated increase from $30 billion to $88 trillion in less than a decade highlights a rapid evolution in how we perceive and manage assets.

The numbers surrounding this projection are staggering. The estimated $88 trillion would account for approximately 16% of global investable assets. A remarkable growth of about 300% in tokenized real-world assets was noted in 2025, underscoring a favorable trajectory that may continue with the increased uptake by institutional players.

#What Does This Mean for Asset Managers?

The implications for asset managers are particularly noteworthy. For instance, a manager handling $2 trillion in assets could see annual revenue between $340 million and $600 million merely from tokenizing retail and wealth management assets. As for asset management activities, these figures could escalate to revenues between $1.2 billion and $2.5 billion.

#Why Should Banks Care About Tokenization?

Banks that choose to sidestep tokenization may face significant strategic setbacks. Forecasts indicate that banks failing to adopt digital asset strategies could see their balance sheets shrink by up to 10% by 2035 in comparison to banks actively embracing this new landscape. Such non-adopting institutions may also experience revenue declines around 14% and even a profit drop as steep as 30%. Conversely, banks that establish a foothold in digital asset infrastructure stand to cultivate new revenue opportunities.

#How Are Banks Adapting to This Shift?

According to the report, banks can adopt various strategies regarding digital assets. These are categorized into three approaches: Defensive Integrators, Scaled Participants, and Infrastructure Shapers. Each represents different commitments, ranging from minimal engagement to full-scale development of tokenization capabilities.

#Is Institutional Momentum Building?

The landscape is already witnessing increasing institutional momentum. The surge of tokenized fund launches in May 2026 from several key players adds credibility to the concept that traditional financial institutions are increasingly leaning toward tokenization. This trajectory, marked by significant growth in 2025, indicates that crucial regulatory, technological, and market infrastructures have aligned to make institutional-grade tokenization a reality.

Important Notice And Disclaimer

This article does not provide any financial advice and is not a recommendation to deal in any securities or product. Investments may fall in value and an investor may lose some or all of their investment. Past performance is not an indicator of future performance.