Standard Chartered Projects Tokenized Assets to Hit $2 Trillion by 2028

Standard Chartered predicts tokenized real-world assets will reach $2 trillion by 2028, with most activity happening on Ethereum, highlighting the platform’s stability and robust network effects.

The projection underscores Ethereum’s dominant role in digital asset growth, potentially reshaping financial markets and driving innovation in blockchain applications.

Standard Chartered, under the leadership of Geoffrey Kendrick, projects the value of tokenized real-world assets (RWAs) to climb to $2 trillion by 2028. Ethereum is expected to host the majority of on-chain activities due to its stability and network benefits.

“Most on-chain activity will occur on Ethereum, due to its long-term stability and network effects.” — Geoffrey Kendrick, Global Head of Digital Asset Research, Standard Chartered Bank

Geoffrey Kendrick, Global Head of Digital Asset Research at Standard Chartered, highlights Ethereum’s role in facilitating this growth. The prediction underscores significant network effects, driving most tokenization efforts to the platform by the projected year.

The anticipated growth impacts various financial sectors, with $750 billion directed towards money market funds. Standard Chartered foresees significant investments in US equities and funds, emphasizing the shift towards digital implementation.

Potential regulatory hurdles remain a concern, with Standard Chartered citing the uncertainty around crypto legislation in the US as a threat. Efforts towards clearer regulatory frameworks are viewed as crucial for market maturity.

Standard Chartered’s analysis reflects optimism about capturing a significant digital transformation within financial services. Historical data portrays the rapid expansion of the tokenized sector, with the market currently around $35 billion, suggesting substantial future growth.