Executive summary
Tokenisation is accelerating, but regulatory and operational barriers continue to constrain adoption.
Tokenisation of real-world assets is moving beyond experimentation as financial institutions increase investment in tokenised securities, deposits and settlement infrastructure. Banks, asset managers and payment providers are exploring opportunities to improve efficiency, reduce settlement costs and unlock new sources of liquidity. However, adoption remains uneven, with activity concentrated in a relatively narrow range of assets and applications.
The market’s growth potential is considerable, although forecasts vary widely depending on which assets and activities are included. Tokenised US Treasury products have emerged as one of the more established segments, while stablecoins are becoming increasingly important to the development of blockchain-based settlement. Yet much of the market remains inaccessible to retail investors, and institutional participation has not translated into widespread adoption across financial markets.
For the payments industry, the implications extend beyond the tokenisation of individual assets. The development of tokenised deposits, stablecoins and interoperable settlement networks could reshape how money moves between institutions and across borders. Realising these benefits will require financial institutions to overcome fragmented infrastructure, regulatory uncertainty and operational complexity. The challenge is shifting from demonstrating that tokenisation is technically feasible to establishing the common standards, reliable settlement mechanisms and commercial models needed to support adoption at scale.
Key findings
Tokenisation forecasts vary considerably, with some projections reaching $2 trillion by 2030.
Tokenised US Treasuries represent a leading segment of the tokenised asset market.
Much of the tokenised market remains inaccessible to retail investors.
Stablecoins dominate tokenised cash infrastructure, particularly US dollar-backed products.
Interoperability and common standards are becoming essential to scaling tokenised markets.
Regulatory fragmentation and operational complexity remain significant barriers to adoption.
Industry implications
Tokenisation presents opportunities to improve settlement efficiency, reduce costs and broaden access to financial markets. However, realising these benefits will require more than technological innovation. Financial institutions must integrate tokenised assets with existing systems, develop reliable settlement arrangements and address the operational challenges of managing assets across multiple networks.
For banks and asset managers, the immediate priority is identifying commercially viable applications while building the infrastructure needed for wider adoption. Stablecoins and tokenised deposits are emerging as important settlement mechanisms, although their roles will depend on regulatory developments and institutional requirements. Regulators, meanwhile, face the challenge of establishing consistent frameworks that support innovation without compromising financial stability or investor protection. Greater interoperability, common standards and regulatory alignment will be essential if tokenisation is to progress from isolated initiatives to markets operating at scale.
Banks
Building the foundations for tokenised finance
Banks are investing in tokenised deposits, securities and settlement infrastructure. Integrating these capabilities with existing systems, while meeting regulatory and liquidity requirements, will be critical to adoption at scale.
Asset managers
Tokenisation opens new distribution channels
Tokenised funds and securities offer opportunities to improve liquidity, streamline administration and broaden investor access. Asset managers must assess whether these benefits outweigh the costs of new infrastructure, custody arrangements and regulatory compliance.
Payment service providers
Stablecoins could reshape settlement
Stablecoins and tokenised deposits could enable faster, more efficient payment settlement. PSPs will need to assess how these technologies integrate with existing payment infrastructure, particularly as regulatory frameworks and institutional adoption evolve.
Regulators and policymakers
Regulatory fragmentation threatens scale
Divergent regulatory frameworks risk limiting cross-border adoption and market interoperability. Policymakers must establish clearer, more consistent standards for tokenised assets, settlement mechanisms and institutional participation without compromising financial stability.