Tokenization Gains Ground & ETFs Have Room to Grow
RWA Signal Insight
InfrastructureA 2026 report by Cerulli Associates reveals that while 63% of asset managers monitor tokenization, only 20% currently utilize blockchain to streamline operations. The research highlights that money market and Treasury funds, such as BlackRock's BUIDL and Franklin Templeton's FOBXX, represent the most advanced tokenized offerings. Conversely, tokenized ETFs remain in early development, with WisdomTree's large-cap equity fund holding only $18.8 million compared to $765.7 million in its digital money market fund. The report emphasizes that the primary value of tokenization lies in back-office efficiencies like settlement and collateral management rather than new product launches. Cerulli identifies private credit as the most significant long-term opportunity for tokenization, potentially solving liquidity and onboarding friction for high-net-worth investors. Despite the potential for operational improvements, the industry remains cautious, with firms prioritizing infrastructure maturity over immediate product expansion. This shift suggests that tokenization is evolving into a foundational financial utility rather than a standalone investment trend.
Key points
- 63% of asset managers monitor tokenization but lack current adoption plans.
- WisdomTree's digital money market fund holds $765.7 million versus $18.8 million in equities.
- Private credit is identified as the largest long-term opportunity for tokenized assets.
- Only 3% of managers currently use tokenization to enable secondary market liquidity.
Background
Cerulli Associates is a global research and consulting firm that provides data and strategic analysis to the financial services industry. Their reports frequently track institutional adoption of emerging technologies and shifts in asset management infrastructure. Tokenization in this context refers to placing fund ownership records on a blockchain to automate back-office processes and improve asset interoperability.