BCG projects tokenized assets could reach $88T by 2035

Boston Consulting Group projects tokenized assets could reach $88 trillion by 2035, suggesting a transformative shift in global finance. The growth trajectory compels traditional banks to embrace tokenization or face competitive disadvantages and potential financial losses.

BCG's projection of $88 trillion in tokenized assets by 2035 represents a pivotal inflection point for global finance infrastructure. This forecast reflects accelerating adoption of blockchain-based asset representation across equities, bonds, commodities, and real estate, driven by improved settlement efficiency, 24/7 market access, and fractional ownership capabilities. The scale of this potential transition demands immediate strategic response from incumbents.

Tokenization addresses fundamental inefficiencies in capital markets. Traditional settlement cycles, geographic fragmentation, and custody complexity create friction costs that blockchain networks eliminate. As regulatory clarity improves globally—particularly with MiCA in Europe and emerging US frameworks—institutions face genuine competitive pressure. Early movers gain operational advantages and customer relationships in emerging asset classes.

For traditional banking, tokenization presents an existential challenge masked as an opportunity. Banks cannot ignore this trend without risking margin compression and customer defection to native blockchain platforms. However, the $88 trillion projection assumes successful interoperability standards, regulatory harmonization, and institutional adoption at unprecedented scale—outcomes far from guaranteed.

The near-term competitive landscape will determine long-term winners. Banks that tokenize assets, provide custody solutions, and integrate blockchain infrastructure will likely capture value. Conversely, those treating tokenization as peripheral innovation may face institutional client attrition. The critical variable remains whether traditional finance fully embraces decentralized settlement or attempts to replicate blockchain benefits within proprietary systems.

• →BCG forecasts tokenized assets reaching $88 trillion by 2035, representing a fundamental restructuring of global financial markets.
• →Traditional banks face material competitive risk if they fail to adopt tokenization strategies within their operations.
• →Tokenization eliminates settlement friction, enables 24/7 trading, and allows fractional ownership across multiple asset classes.
• →Regulatory clarity and interoperability standards remain critical dependencies for achieving $88 trillion adoption levels.
• →Early institutional adoption of blockchain-based asset infrastructure will likely determine competitive positioning through 2035.