The convergence of tokenized assets and traditional capital markets has moved from theoretical to operational. In 2025, tokenized real-world assets surpassed $500 billion in on-chain value — growing at a pace that demands institutional attention.
What's Actually Happening
The most significant developments are not in retail crypto but in institutional adoption of tokenized infrastructure. Tokenized money market funds, tokenized treasury securities, and tokenized private credit instruments are now offered by major financial institutions.
Structural Implications
For investment vehicles designed to hold tokenized assets alongside traditional instruments, jurisdiction selection becomes more complex. Singapore's MAS has provided relatively clear regulatory guidance for digital asset service providers.
The Holding Structure Question
Swiss Ace recommends a pragmatic, asset-class-by-asset-class approach: maintaining traditional structures for regulated securities while incorporating purpose-built digital asset holding structures for tokenized instruments where the regulatory path is clear.
DLT Repo: The Institutional Use Case
Distributed ledger technology for repo agreements has emerged as the most mature institutional use case for blockchain in capital markets. Intraday settlement capability reduces balance sheet usage and counterparty risk simultaneously — a compelling combination for treasury desks.
The 2026 Outlook
We expect continued institutional adoption driven primarily by settlement efficiency and collateral mobility rather than speculative return-seeking. Family offices and smaller institutional investors who establish the operational and structural foundation now will be better positioned as liquidity deepens.
Swiss Ace provides disciplined investment advisory and business solutions across global markets.