Standard Chartered projects $4T in tokenized assets by end-2028, with DeFi protocols primary beneficiaries
Standard Chartered projects $4 trillion in tokenized assets by the end of 2028, with DeFi protocols positioned to benefit most.
Standard Chartered has released new projections forecasting the tokenized assets market will reach $4 trillion by the end of 2028. The British multinational banking corporation identified decentralized finance (DeFi) protocols as the primary beneficiaries of this massive growth in asset tokenization.
Asset tokenization involves converting real-world assets like real estate, commodities, and financial instruments into digital tokens on blockchain networks. This process enables fractional ownership, improved liquidity, and 24/7 trading capabilities. Major financial institutions have increasingly explored tokenization as a way to modernize traditional finance and reduce settlement times from days to minutes.
The bank's bullish projection signals growing institutional confidence in blockchain-based financial infrastructure. If realized, this $4 trillion figure would represent a substantial portion of global financial assets moving onto distributed ledgers. DeFi protocols stand to benefit significantly as they provide the infrastructure for trading, lending, and managing these tokenized assets without traditional intermediaries. This shift could accelerate the integration of traditional finance with decentralized systems.
Market participants will be watching how regulatory frameworks develop around tokenized assets, particularly in major jurisdictions like the United States and European Union. The pace of institutional adoption and the technical scalability of blockchain networks will also determine whether Standard Chartered's ambitious timeline proves accurate.
Source: The Block
