- The real-world asset tokenization market is forecasted to hit $16 trillion by 2030.
- BlackRock CEO has bullish sentiment towards securities tokenization.
- Miles Deutscher’s top picks for the tokenization markets include Frax, LINK, PYTH, Pendle, and Ondo.
In a recent analysis, prominent crypto analyst Miles Deutscher argued that the real-world asset sector represents one of the most promising areas within the crypto sphere. Deutscher emphasized that this sector should form the bedrock of any crypto investor’s portfolio.
Deutscher drew attention to data from the Boston Consulting Group, projecting a substantial growth trajectory for real-world asset tokenization. Specifically, he estimated that the sector, valued at $0.6 trillion, could skyrocket to a staggering $16 trillion by 2030.
Furthermore, the analyst’s sentiment was also echoed by Larry Fink, CEO of BlackRock, one of the world’s largest asset managers. Speaking at the recent DealBook Summit, Fink emphasized his bullish outlook on tokenizing securities, stating:
“I believe the next generation for markets, the next generation for securities, will be tokenization of securities.”
Deutscher emphasized the vast scale of the real-world asset tokenization market. He highlighted the global real estate market, valued at $326 trillion, and the gold market, valued at $12.39 trillion. He stressed that even a modest allocation, such as 1% or 0.5%, could play a pivotal role in the crypto market by bolstering liquidity and subsequently improving prices.
As a result, Deutscher recommended investing in individual real-world asset protocols or layer-one and layer-two blockchains poised to become hubs for tokenized assets. He cited projects such as Frax, renowned for its lending capabilities. Frax’s token, FRAX, currently wields a market valuation of $648,599,634.
Furthermore, the analyst recognized Chainlink (LINK) as the largest oracle in the crypto realm for real-world assets (RWAs). He compared Chainlink to the Bitcoin of RWAs, suggesting its pivotal role in the ecosystem’s infrastructure.
LINK ranks among the most valuable crypto with a market valuation exceeding $8 billion. Moreover, the analyst cited Pyth Network (PYTH) as a rival to Chainlink in the sector. Other projects the analyst endorsed included Ondo Finance and Pendle.
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