According to a report from Citi, over $15 billion in institutional digital assets have been issued since 2019, with $8.5 billion in debt securities. This movement demonstrates how institutions are increasingly adopting tokenization as part of their strategies. In 2024, this trend is intensifying, with global players leveraging public and private blockchains to create new financial products, ranging from real estate fractions to works of art and commodities.
Major Investors Proving the Success of Tokenization
Renowned companies and institutions worldwide are betting on tokenization as a way to diversify portfolios and democratize access to investments. Some of the success stories include:
BlackRock
The world’s largest asset manager has invested in tokens linked to financial assets, such as debt securities and tokenized ETFs. The company has demonstrated that tokenization can bring liquidity and accessibility to traditional markets.JPMorgan Chase
The bank pioneered the issuance of tokenized securities on its private blockchain, Onyx. Recently, it launched a platform for token trading, focusing on institutional investors and proving the technology’s scalability.RealT
Specializing in tokenized real estate, RealT is a U.S.-based platform that allows the purchase of fractions of properties, such as residential and commercial buildings. Thousands of investors have already earned consistent returns through rental income from tokenized assets.Société Générale
The French bank has explored tokenization of financial securities and successfully attracted major investors to its digital offerings. In one of its projects, it raised millions by issuing tokens backed by government bonds.Animoca Brands
The company is a leader in the digital entertainment and gaming sectors. Its investments in NFTs and tokens related to digital assets have shown that the technology can be applied beyond the financial sector, reaching younger audiences and new markets.
Global Outlook for 2024
In Europe and the United States, tokenization is expanding access to investments traditionally restricted to large investors. Digital platforms are enabling small investors to acquire fractions of high-value assets, such as commercial real estate and renowned works of art. In Asia, governments and companies are exploring tokenization for infrastructure projects, while in Latin America, the technology is gaining traction in sectors such as agribusiness and energy.
Additionally, regulatory initiatives are progressing. Countries like Switzerland and Singapore are leading with clear regulatory frameworks for the issuance and trading of tokenized assets, while other economies, such as Brazil and the United States, are advancing discussions to ensure investor security and transparency.
The growing adoption of tokenization reflects its promise to revolutionize the financial market by offering greater liquidity, process automation, and accessibility. With banks, fintechs, and governments investing in tokenized solutions, 2024 marks a year of significant progress, reinforcing this technology’s role as a pillar of digital transformation in global markets.
References:
- Valor Econômico: “Tokenization is the favorite area for 55% of banks in crypto” (Link to the full article)
- O Globo: Tokenization Overview (Link to the full article)