Hoskinson: Tokenization to Power Next Crypto Boom

The cryptocurrency industry has always thrived on innovation, but according to Cardano founder Charles Hoskinson, the next five years will be defined by a transformative force: the tokenization of real-world assets (RWAs). Speaking at the highly anticipated Korea Blockchain Week (KBW) 2025, which began on September 22, Hoskinson outlined why he believes tokenization is set to reshape global finance and power crypto’s most significant growth phase yet. This bold prediction comes at a time when blockchain technology is gaining mainstream recognition, institutional adoption is expanding, and governments are racing to establish regulatory clarity. While cryptocurrencies such as Bitcoin and Ethereum have dominated headlines for years, Hoskinson’s vision suggests that the next trillion-dollar boom may come from bringing tangible assets onto blockchain networks.

The $10 Trillion Opportunity

Hoskinson forecast is not just ambitious—it’s monumental. He estimates that up to $10 trillion worth of real-world assets could be tokenized and moved on-chain in the coming years. To put that figure into perspective, the entire crypto market today is valued at less than $4 trillion. If tokenization unfolds as predicted, it could more than double the size of the industry and accelerate blockchain’s role in mainstream finance. This potential growth reflects broader financial trends. Institutions, hedge funds, and asset managers are increasingly seeking ways to unlock liquidity, streamline transactions, and enhance transparency. Tokenization offers solutions to all three by converting traditional assets like stocks, bonds, real estate, and commodities into blockchain-based tokens that are easier to trade, fractionalize, and secure.

Why the United States Is Key to Tokenization

While the potential is massive, Hoskinson cautioned that significant barriers remain. Tokenization may be inevitable, but its practical implementation depends on regulatory frameworks—particularly in the United States. Hoskinson highlighted the challenges:

• Securities integration into blockchain systems
• Disclosure requirements for tokenized assets
• Broker-dealer compliance
• Custody rules for digital and tokenized assets
• Cross-border KYC standards

These “grey areas,” as Hoskinson described them, represent the gap between intention and execution. However, he expressed confidence that the U.S. is already working on solving these issues, and once clarity is achieved, America could spearhead the establishment of a multi-trillion-dollar tokenization industry. “The U.S. will create one global securities market,” Hoskinson stated. This bold declaration suggests that once regulatory hurdles are cleared, the U.S. could become the global hub for tokenized assets, setting standards that other nations follow.

Tokenization

Hoskinson perspective aligns with a growing consensus in the blockchain industry: tokenization is not a passing trend but the next frontier of blockchain adoption. Other influential voices echo this sentiment. For instance, Ripple Labs, a major player in fintech, has projected that real-world asset tokenization could grow into a $19 trillion sector by 2033. This forecast signals that tokenization could dwarf today’s crypto ecosystem in both scale and impact. The reasoning is simple: tokenization bridges the gap between traditional finance (TradFi) and decentralized finance (DeFi). It provides a clear use case for blockchain—one that extends beyond speculative trading of cryptocurrencies and directly impacts industries such as banking, real estate, logistics, and even government services.

How Investors Could Benefit

The billion-dollar question is: How can investors take advantage of this tokenization boom? Hoskinson believes that as tokenization gains momentum, the entire crypto market will rise. But industry experts suggest that certain assets are better positioned to capitalize on this trend than others. In July, Bitwise CIO Matt Hougan highlighted XRP and Ethereum as the “cleanest ways” to gain exposure to tokenization. Here’s why:

1. XRP and Ripple’s XRPL Ledger
   • Ripple has long positioned itself as a leader in cross-border payments and settlement systems.
   • Its XRPL Ledger is uniquely designed to handle high-speed, low-cost transactions, making it well-suited for tokenizing and transferring real-world assets globally.
   • As tokenization grows, XRP could directly benefit from increased adoption and liquidity.
2. Ethereum’s Smart Contract Dominance
   • Ethereum remains the most widely adopted platform for smart contracts and decentralized applications (dApps).
   • Its strong institutional base and deep developer ecosystem make it a natural leader in tokenization projects.
   • From tokenized treasuries to real estate-backed NFTs, Ethereum already has the infrastructure to host large-scale tokenization efforts.

Beyond these, other projects like Cardano, Polygon, and Avalanche are also building frameworks to support real-world asset tokenization, suggesting that investors could diversify across multiple platforms poised to benefit.

Charles Hoskinson prediction at Korea Blockchain Week 2025 underscores a pivotal moment for the crypto industry. If $10 trillion in real-world assets move on-chain, tokenization could not only double the current crypto market size but also fundamentally transform global finance. With the United States likely to play a leading role in establishing frameworks, and platforms like Ripple’s XRPL and Ethereum positioned to benefit, investors and institutions alike are watching closely. Tokenization represents the bridge between traditional and decentralized finance—a bridge that could reshape wealth creation, market access, and financial inclusion for decades to come. While challenges remain, the trajectory seems clear: tokenization is the future of blockchain, and the future is closer than we think.

Disclaimer: CryptopianNews shares this for learning and info only. It’s not meant to be financial or investment advice. Crypto markets change a lot and move quickly. Investing in them can be risky. You should always look into things yourself. Talk to a trained financial advisor before making any choices about investing.