Citi released a tokenization market forecast on local time day 1 projecting the financial digital asset market will reach $5.5 trillion by 2030. The Citi Institute think tank published the 'Tokenization 2030' report stating tokenized financial digital assets will grow to approximately $5.5 trillion by 2030. The current global tokenized digital asset market size stands at approximately $17 billion.
Citi Identifies U.S. Securities as Primary Growth Driver
Citi identified publicly traded securities such as U.S. stocks and Treasury bonds as the primary drivers of market growth. The report stated that stocks, bonds, and commodities may transition on-chain as younger digital-native individual investors seeking 24-hour access increase. Citi added that if 10% of U.S. individual investors use on-chain systems by 2030, demand for tokenized stocks could reach approximately $2.6 trillion.
Citi provided scenario ranges based on adoption speed, projecting a downside scenario of $2.7 trillion and an upside scenario of $8.2 trillion.
Major Market Infrastructure Providers Integrate Tokenization Platforms
Citi noted that major market infrastructure operators including the Depository Trust & Clearing Corporation (DTCC), New York Stock Exchange (NYSE), and Nasdaq have begun integrating tokenization into core platforms. The report described these institutional developments as evidence of tokenization's integration into established financial systems.
Citi Projects Stablecoin Market at $1.9 Trillion by 2030
Citi projected the regulatory-compliant stablecoin market, which will serve as the payment infrastructure, will grow to $1.9 trillion by 2030. The report positioned stablecoins as the foundational settlement layer for tokenized asset transactions.
Citi Forecasts Gradual Transition with Parallel Systems
Citi stated the transition will proceed in stages. The report explained that a 'chaotic' period is expected during which tokenized digital asset systems and existing systems operate in parallel. Citi added that this represents gradual evolution rather than revolution, and that interoperability bridging both systems will be key to market expansion.
FAQ
What market size did Citi project for tokenization by 2030?
Citi projected the tokenized financial digital asset market will reach $5.5 trillion by 2030, with scenario ranges between $2.7 trillion (downside) and $8.2 trillion (upside) depending on adoption speed.
What did Citi identify as the primary driver of tokenization market growth?
Citi identified publicly traded securities such as U.S. stocks and Treasury bonds as the primary growth drivers, stating that if 10% of U.S. individual investors use on-chain systems by 2030, demand for tokenized stocks could reach approximately $2.6 trillion.
What did Citi say about the transition to tokenized systems?
Citi stated the transition will proceed gradually with a period during which tokenized digital asset systems and existing systems operate in parallel, emphasizing that interoperability between both systems will be key to market expansion.
