TechFlow reported that Colin Butler, Polygon's Global Head of Institutional Capital, said in an interview with Cointelegraph that the global market opportunity for tokenized real-world assets (RWAs) could reach $30 trillion. Butler believes this market growth will be driven by high-net-worth individuals increasing their allocation to alternative assets, as tokenization brings liquidity and accessibility to traditionally illiquid assets.
According to him, around $100 trillion in assets globally are held by individuals with net worth between $1 million and $30 million, who typically have minimal exposure to alternative investments. Butler expects private bankers may soon recommend allocating up to 20% of portfolios to such assets.
Currently, approximately $9 billion has been invested in tokenized private credit instruments, a figure expected to grow significantly as major institutions like KKR and Hamilton Lane enter the space. Excluding stablecoins, about $11.6 billion in tokenized RWAs are currently on blockchain networks, primarily consisting of tokenized money market funds from BlackRock and Franklin.
