The tokenized real-world asset (RWA) market has reached a valuation of $240 billion, primarily driven by private credit and U.S. Treasury bonds.
Market Growth and Key Drivers
- Tokenized RWAs have evolved from a niche concept to a mainstream institutional financial use case.
- 380% growth since 2022 (excluding stablecoins), now valued at $240 billion.
- Private credit dominates, accounting for $140 billion (58% of the market).
Private Credit’s Role
- Offers 8–12% yields (e.g., Apollo’s ACRED Fund).
- Tokenization enhances liquidity, lowers barriers to entry, and enables fractional ownership—addressing historical limitations of private credit markets.
"Investors have long turned to private credit for its yield premium over public credit markets. Tokenization now accelerates settlement and democratizes access." —RedStone Report
Ethereum: The Leading Platform for Tokenized RWAs
Despite competition from scalable blockchains, Ethereum remains the top network for RWA tokenization:
- $75 billion in tokenized value (59% market share).
- 335 products hosted as of mid-2025.
Key Developments
- Etherealize (Jan 2025): Ethereum Foundation’s push for institutional adoption.
- Solana emerges as a "high-performance challenger" for tokenized Treasuries ($351 million hosted).
- Aptos ($349 million) and Avalanche ($188 million) gain traction, with XRP Ledger entering as a "regulated newcomer" ($157 million).
FAQs
1. What are the top tokenized RWAs?
Private credit ($140B) and U.S. Treasuries lead, followed by funds like KKR’s tokenized offerings.
2. Why is Ethereum preferred for RWAs?
Its security, decentralization, and recent institutional outreach (e.g., Etherealize) make it the "gold standard."
3. How does tokenization benefit private credit investors?
Faster settlements, fractional ownership, and higher liquidity compared to traditional markets.
👉 Explore the future of RWAs with RedStone’s full report
Data sources: RWA.xyz, Gauntlet, RedStone (2025).