RWAs Boom: Layer-1 Blockchains Ignite $18.9T Tokenization

The tokenization market for real-world assets (RWA) is projected to grow to $18.9 trillion by 2033, mainly driven by Ethereum and Stellar networks. Stellar is the second-largest Layer-1 blockchain for RWA tokenization with $470 million in tokenized assets, including Franklin Templeton’s OnChain fund, which primarily operates on Stellar. This fund is the third-largest tokenized money market fund, highlighting Stellar’s significance in RWA adoption. Plans are in place for Stellar to achieve $3 billion in RWA tokenization by the end of the year, with collaborations from firms like Societe Generale-Forge and Ondo. Stellar’s cost-efficient tokenization significantly reduces transaction fees, providing a strong case for its economic advantage in managing large financial transactions. Stellar’s developments emphasize its critical role in the blockchain-driven transformation of asset management, particularly relevant for institutional investors.