Tokenization offers structural advantages to financial institutions and helps asset managers reach new markets, according to Fidelity’s head of digital asset strategists.
Financial institutions are increasingly moving toward an onchain future with tokenization initiatives which provide access to new markets and offer structural advantages compared to traditional investment products, according to Matthew Horne, head of digital asset strategists at Fidelity Investments.
“In the last 18 months, if you look at the push by true institutions to move toward an onchain future, it’s really no going back,” said Horne during a panel discussion at Longitude Singapore on Thursday.
US asset managers are particularly incentivized to move assets onchain as tokenization provides better investor access and helps them “reach new markets,” explained Horne.
Demand for tokenized assets rose by 41% during the past 30 days as the number of holders topped 493,000, according to RWA.xyz. That figure measures the total number of addresses holding tokenized real world assets, excluding stablecoins.
(From left to right): WSJ’s Jihye Lee, Fidelity’s Matthew Horne, UBS’ Ka Yan Chan, Securitize’s Chongwu Du, Maple’s Sidney Powell, speaking at a panel discussion at Longitude in Singapore. Source: Cointelegraph
Treasuries and equities may bring billions of dollars onchain as the staples of portfolio construction, said Ka Yan Chan, head of digital assets business development at UBS.
Industry players could “piggyback” on these initiatives by building the distribution layer for tokenized assets, said Chan.
In December 2025, the Securities and Exchange Commission (SEC) issued a “no action” letter to a subsidiary of the Depository Trust and Clearing Corporation (DTCC), enabling it to offer a new securities market tokenization service.
Source link
