The transferable tokenized real world asset (RWA) market is predicted to expand from $27bn to $400bn by 2030. Freely transferable RWA tokens are issued on public blockchains and are composable within the broader crypto, i.e., they can be used in decentralized applications and protocols to seamlessly interact with one another. During the same period, assets tracked on public blockchains, but not yet freely transferable, will reach $5 trillion. The pace of that shift depends on integration into existing financial workflows.
Large pools of capital remain constrained by settlement delays, high minimums, geographic limits, and weak secondary liquidity. Amir Hajian, researcher at KeyRock, said in the report that U.S. Treasuries, private credit, commodities, equities and institutional alternative funds account for more than 90% of distributed value onchain. BlackRock, Apollo, Goldman Sachs, and JPMorgan are among the traditional financial institutions who have committed capital onchain and blockchain infrastructure. However, the pace highlighted that penetration against traditional markets remains below 0.1% for every asset class.
In addition, four of these five asset classes have more than 89% of value in the top five wallets, which are DeFi protocols and stablecoin reserves, rather than a broad base of participants, so there are few active transactions. Carlos Domingo, chief executive and founder at Securitize, said in the report that the most significant structural barrier remains liquidity. He added: “Institutional capital allocators need to know they can exit a position without materially moving the market.” Solving this is partly a time problem, partly a product design problem, and partly an infrastructure problem.
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