$SNX
Standard Chartered Bank predicts in its June 2024 report that by 2034, the market size of tokenization of real-world assets (RWA) will reach $30.1 trillion. This prediction highlights the potential growth and immense potential of the RWA tokenization market. RWA tokenization involves converting tangible assets (such as real estate, artwork) and intangible assets (such as intellectual property, future earnings, carbon credits) into digital assets on the blockchain. This conversion not only provides higher liquidity for assets but also creates new markets and value exchange mechanisms.
The impact of RWA tokenization is multifaceted; it can enhance the liquidity and tradability of assets, reduce transaction costs, and improve efficiency. For instance, through tokenization, investors can more easily trade intangible assets like future earnings of artists, medical patents, or carbon offset potentials. Moreover, the market size of tokenized assets is expected to grow significantly in the coming years, with real estate, debt instruments, and investment funds anticipated to be the main drivers of growth.
As technology matures and the regulatory environment improves, RWA tokenization is expected to be widely adopted across various sectors, driving innovation and transformation in financial markets. Standard Chartered Bank's prediction also reflects the market's optimistic outlook on the future development potential of RWA tokenization.