“`html
More than $4 trillion in real estate assets could potentially be tokenized on blockchain platforms over the forthcoming decade, possibly providing investors enhanced access to property ownership chances, as stated in a recent report.
The Deloitte Center for Financial Services forecasts that more than $4 trillion in real estate could be tokenized by 2035, rising from under $300 billion in 2024. The report, released on April 24, indicates a compound annual growth rate (CAGR) exceeding 27%.
This $4 trillion in tokenized properties is expected to arise from the advantages of blockchain-enabled assets and a fundamental shift in real estate and property ownership.
“The real estate sector is undergoing a transformation. Post-pandemic remote work trends, climate risks, and digital advancements have altered property fundamentals,” noted Chris Yin, co-founder of Plume Network, a blockchain designed for real-world assets (RWAs).
“Office spaces are being converted into AI data centers, logistics hubs, and energy-efficient housing communities,” Yin shared with Cointelegraph.
“Investors are seeking focused access to these contemporary applications, and tokenization offers programmable, customizable exposure to such shifting asset categories,” he stated.
Related: Regulation and scalability are essential for blockchain to close the AI employment gap
The uncertainty generated by US President Donald Trump’s import tariffs has heightened investor interest in the RWA tokenization field, which encompasses the creation of financial products and physical assets on a blockchain.
Both stablecoins and RWAs have drawn considerable investment as safe-haven options amid global trade anxieties, remarked Juan Pellicer, senior research analyst at IntoTheBlock, to Cointelegraph.
The tariff issues also prompted tokenized gold activity to exceed $1 billion in trading volume on April 10, marking its peak since March 2023 when a US banking crisis led to the abrupt collapse of Silicon Valley Bank and the voluntary liquidation of Silvergate Bank.
Related: ‘US banks are now able to start supporting Bitcoin’ — Michael Saylor
Blockchain advancements could promote regulatory clarity
The increasing adoption of RWAs may encourage a more favorable attitude from international regulators, Yin suggested.
“While regulation poses a challenge, it typically follows usage,” he elaborated, drawing a comparison between tokenization and the rise of Uber before it achieved widespread regulatory acceptance:
“Tokenization is akin — as demand grows, regulatory clarity will follow.”
He added that ensuring tokenized products adhere to various international regulations is crucial for opening wider market access.
Nonetheless, some industry observers express skepticism about the advantages made possible by tokenized real estate.
“I believe tokenization should not be directly focused on real estate,” stated Securitize chief operating officer Michael Sonnenshein at Paris Blockchain Week 2025.
“I am confident there are numerous efficiencies that can be unlocked through blockchain technology to remove intermediaries, escrow, and various other processes in real estate. However, at present, what the on-chain economy requires are more liquid assets,” he added.
Magazine: Ripple declares SEC lawsuit ‘over,’ Trump at DAS, and further: Hodler’s Digest, March 16 – 22
Source link
“`
