The SEC's Crypto Task Force, directed by Commissioner Hester Peirce, will hold its third roundtable on tokenization in Washington, DC. The major panelists include BlackRock, Fidelity, and Nasdaq.
The meeting will center on the integration of blockchain-based assets into traditional finance. Peirce believes that tokenization has the potential to significantly alter financial markets. The market for tokenized real-world assets (RWAs) is presently valued at $18.85 billion. Private equity leads the industry, followed by US Treasuries and commodities. Analysts expect US Treasuries to drive expansion, with the market reaching $28 billion. Tokenized US Treasury securities saw a 30% gain in market value in Q1 2023.
Private credit is likely to expand moderately, potentially reaching $17.5 billion. Tokenization could alter the industry by increasing liquidity and accessibility. Tokenized stocks, which are already worth $15M, may become more widespread with clearer laws. The industry has the potential to generate $1 billion in revenue.
The roundtable aims to provide investors with regulatory certainty. The event will be available to the public and live-streamed on the SEC website. The fourth discussion, "DeFi and the American Spirit," has been postponed to June 9. It will look at the regulatory implications and prospects for decentralized finance platforms.
