Key Takeaways
- Carlos Domingo, CEO of Securitize, predicts tokenized equities and ETFs will expand the RWA market from $30 billion to $5 trillion
- Only 2-3% of the $150 trillion global stock market moving on-chain would be needed to achieve this milestone
- Domingo distinguishes between authentic tokenized equity ownership and synthetic derivative products
- Securitize has established key partnerships with NYSE and Computershare for blockchain-based equity infrastructure
- Domingo identifies Ethereum as the optimal public blockchain for institutional asset tokenization
The real-world asset tokenization market stands poised for explosive expansion, potentially ballooning from its current $30 billion valuation to a staggering $5 trillion, according to Carlos Domingo, chief executive of Securitize.
The catalyst for this transformation? Tokenized stocks and exchange-traded funds rather than the Treasury products that have dominated the space thus far.
Domingo shared this outlook during a panel discussion at ETHConf in New York this week, where he explored the evolution of on-chain financial markets.
His thesis centers on the massive $150 trillion global equities and ETF marketplace. According to Domingo, migrating even a modest fraction of this market onto blockchain infrastructure would be sufficient to hit the multi-trillion-dollar milestone.
“Only if a small percentage of that, like 2% or 3%, moves onchain, it gets you very close to that $5 trillion,” Domingo said.
The Current State of Tokenized Assets
Tokenized U.S. Treasury products have dominated the RWA sector throughout the past two years. However, Domingo believes this growth cycle is reaching maturity, with equities representing the next frontier.
He emphasized that tokenized stocks deliver advantages that fixed-income products cannot match — including democratized access for investors, enhanced liquidity, and deeper compatibility with decentralized finance protocols.
Securitize has positioned itself at the forefront of this transition. The firm has forged strategic alliances with the New York Stock Exchange and Computershare, a major transfer agent, to facilitate blockchain-powered equity transactions and settlement processes.
The company is also pursuing a public listing and serves prominent institutional players, including asset management giant BlackRock.
Authentic Tokenization Versus Synthetic Products
Domingo emphasized a critical distinction between legitimate tokenized equities and what he characterizes as inferior synthetic alternatives.
“A lot of people that today say that they tokenize equities, they’re not tokenizing equity,” he said.
He criticized numerous blockchain-based equity products available internationally, noting they typically depend on derivatives or synthetic frameworks rather than actual share ownership. Authentic tokenized stocks, according to Domingo, must provide investors with genuine share ownership, complete with voting privileges and dividend rights.
For the underlying technology, Domingo favors Ethereum. Securitize leverages smart contract technology to restrict ownership to verified investors while maintaining assets on permissionless public blockchain networks.
The Road Ahead for Tokenized Markets
Domingo doesn’t envision blockchain-based markets completely supplanting conventional financial systems. Instead, he anticipates a period of coexistence between both ecosystems.
“The traditional markets are going to stay,” he said. “We’re going to see a new market emerge in parallel that will run on blockchain rails and be much more efficient.”
He highlighted that blockchain-based securities would enable instantaneous settlement and round-the-clock transferability — capabilities that remain unavailable in traditional market infrastructure.
While the RWA tokenization sector remains in its nascent stages, Domingo’s perspective aligns with a broader consensus among industry executives that tokenized equities represent the critical bridge connecting legacy finance with blockchain technology.
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