The tokenization supercycle is accelerating fast, with the total market cap of tokenized assets past $337.8 billion. This includes stablecoins, stocks, funds, and commodities.
Tokenized stocks are expanding faster than their counterparts, with its capitalization growing nearly tenfold over the past year. That is, from $485 million to $4.82 billion as of press time.
About six months ago, this cap was $1.50 billion, increasing to $2.86 billion three months later. This signals that more traditional assets are being brought on-chain. In fact, IPOs of major companies like SpaceX and Anthropic going live on-chain have contributed to this meteoric rise.
Since all stock is equity but not all equity is stock, the broader data shows that growth was all-round. The total circulating supply of on-chain tokenized equities surged by $932 million, equivalent to a 25% growth, in the past week alone.
The total cap accounts for 15,304 assets from 400 issuers across 50 chains. Holders have also grown past 325.5 million, as per Token Terminal.
Amid mid-term U.S. elections, the volumes of tokenized equities hit record, especially now that trading was 24/7. In fact, 62% of this volume was traded outside market hours, stressing the importance of going on-chain.
Institutions are moving fast into tokenizing global assets and funds. Ondo Finance [ONDO] and Solana [SOL] are on the forefront of the tokenization supercycle.
Can ONDO help tokenized markets move beyond early demand?
For instance, BlackRock’s iShares 0-1 Year Treasury Bond ETF [SHVon] offered by Ondo Finance on Solana is now worth over $423 million. This figure represents a 64.39% increase in the past 30 days.
Furthermore, the product held $8.325 million in capital just three months ago. SHVon attracted $88.20 million in net inflows over the past week.
However, SHVon is lagging behind other tokenized treasuries in terms of returns with -0.02% against an average of 1.13%. Since inception, only two months have been green, while the other three have been red.
Still, ONDO could help tokenized markets move beyond early demand. This is evident as investor demand for U.S. ETFs grows as they attracted $201 billion in inflows last month. This was the second-largest monthly intake on record.
Examining other trading platforms on Solana, Jupiter reported a growth of 60% month-over-month (MoM) in the number of tokenized equity traders. The volumes also increased by over 24%.
Therefore, the tokenization supercycle may be at its early stage, and ONDO is positioned to become one of the largest platforms for the job. Over 430 U.S. stocks and ETFs worth over $900 million have been tokenized by ONDO with 565K holders.
Final Summary
- The tokenization supercycle may have been confirmed as tokenized stocks grow by nearly 10x in a year.
- BlackRock’s iShares 0-1 Year Treasury Bond ETF, offered by Ondo Finance on Solana grew by 64% in the past 30 days.
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