Tokenized Assets Projected to Explode to $5.5 Trillion by 2030, Citi Reports

Key Highlights

Table of Contents

Citi forecasts tokenized assets will expand from $17 billion currently to $5.5 trillion by 2030.
Major market infrastructure providers including DTCC, Nasdaq, and Intercontinental Exchange are developing blockchain systems for securities.
Stablecoin market projected to hit $1.9 trillion, enabling rapid settlement for tokenized securities.
Tokenized Treasury bills and publicly traded equities expected to drive early adoption ahead of private markets.
Financial institutions controlling both assets and payment infrastructure positioned to capture significant market advantages.

Wall Street’s embrace of blockchain technology accelerates as Citi forecasts substantial growth in onchain financial assets through the end of the decade.

Citi’s comprehensive Tokenization 2030: Wall Street On-Chain analysis reveals that tokenized assets currently valued at approximately $17 billion could experience explosive growth. The financial giant’s baseline projection estimates the market reaching $5.5 trillion by 2030, with conservative and optimistic scenarios ranging between $2.7 trillion and $8.2 trillion.

Digital Currencies to Enable Securities Tokenization at Scale

According to Citi, the upcoming wave of tokenization will originate from publicly traded markets instead of private asset classes. The analysis indicates that market infrastructure organizations are integrating blockchain technology into existing securities trading systems.

DTCC intends to conduct limited production transactions involving tokenized securities starting in July, Citi reported, ahead of a full-scale rollout planned for October. Nasdaq is building infrastructure to support blockchain-enabled stock trading potentially launching by 2027. Intercontinental Exchange has disclosed intentions to offer tokenized equity products, the report states. Citi emphasized that DTCC and the parent company of the New York Stock Exchange are bringing tokenization capabilities directly into mainstream capital markets.

The analysis highlighted that tokenized securities require dependable digital currency infrastructure before instantaneous settlement can function efficiently across markets. Citi anticipates the stablecoin sector expanding to $1.9 trillion by 2030, with bank-issued digital deposits facilitating simultaneous settlement of securities and cash.

Citi suggested stablecoin expansion could generate approximately $1 trillion in additional demand for U.S. government debt securities. This projection stems from reserve requirements, as numerous stablecoin providers maintain backing through Treasury bill holdings.

Publicly Traded Securities Expected to Lead Tokenization Movement

Regarding regulatory developments, Citi highlighted improving digital asset regulations as a catalyst for accelerated tokenization adoption. The report referenced the Clarity Act’s advancement following the Senate Banking Committee’s bipartisan 15-9 approval on May 14.

Citi explained that publicly traded assets offer simpler tokenization pathways compared to private credit instruments or private equity holdings, which face greater trading complexities. The bank projects both private credit and private equity tokenization to achieve $100 billion valuations each by 2030.

Citi anticipates 10% of U.S. Treasury bills and 3% of American public equities will transition to tokenized formats by 2030. The analysis suggests that 10% retail investor adoption of blockchain-based trading platforms could generate $2.6 trillion in demand for tokenized equity products.

Citi noted that legacy and modern systems will operate in parallel for an extended period, similar to how toll roads maintained traditional payment lanes while introducing electronic payment systems. The bank identified “structural orchestrators”—institutions commanding both asset custody and payment infrastructure—as positioned to capture the most significant competitive advantages.

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