The tokenized real-world asset market has crossed $60 billion in total value, but the headline number masks a market that's heavily concentrated, largely dormant, and mostly inaccessible to U.S. retail investors. According to fresh data, just 62 assets account for 88% of the market, and five products alone represent roughly half of the entire value. Of 1,289 tokenized assets worth more than $100,000, only 910 assets — representing $32.9 billion — recorded zero weekly transfers.
Dormant value and 'tokenization theater'
Iggy Ioppe, CIO of Theo, described the $32.9 billion in dormant value as “tokenization theater” and stressed the need for usable tokens in DeFi and live settlement. “The industry is good at putting assets on chain, less good at making them actually trade,” he said in a statement. The disconnect between issuance and activity is a recurring theme. Graham Rodford, CEO of Archax, pointed to blockchain fragmentation as a major barrier to institutional adoption. “If you can’t move a token across chains without friction, you’re not really improving on the old system,” Rodford said.
Regulatory patchwork creates isolated pools
Fabian Dori, CIO of Sygnum Bank, warned that differing regulations across jurisdictions could create isolated regional liquidity pools. The warning is grounded in numbers: EU-regulated tokenized products account for only $3.3 billion, or 6% of the core market. The vast majority of the $60 billion market remains outside U.S. retail access — 97% by one estimate. That leaves the biggest retail investor base on the sidelines, unable to participate in most tokenized offerings.
A proposed solution: the 'liquidity graph'
Aleksandr Cryptoved, Founder of WAODAO, proposed a “liquidity graph” that would connect tokenized assets through multiple trading pairs, effectively creating a network effect across fragmented pools. The idea is still conceptual, but it reflects a growing recognition that the current siloed approach won't scale. The data reinforces the point: with 62 assets dominating and 88% of the market concentrated in a handful of products, liquidity is shallow where it matters most.
For now, the $60 billion figure is a milestone, but it's also a reminder that tokenization's promise — frictionless, global access to real-world assets — remains a work in progress. The next test will be whether the industry can move beyond issuance and start building real secondary markets.
