Tokenization is Rapidly Evolving Like ETFs, Says Ondo Executive
- The ETF market has grown from $200 billion in assets in the early 2000s to nearly $20 trillion today.
- Tokenization is expected to accelerate faster than the growth seen in ETFs.
- Hoffman predicts a future with AI-driven financial services using tokenized assets for real-time portfolio management.
- Ondo currently offers tokenized U.S. Treasury products and plans to expand into stocks, ETFs, and perpetual futures.
Hoffman emphasized that as markets digitize through tokenization, they tend to grow larger, similar to the evolution of ETFs. The necessary infrastructure includes on-chain prime-brokerage systems and asset-management strategies executed on blockchain networks.
The rapid growth of the ETF market demonstrates significant potential for tokenization, which could reshape capital markets and financial services significantly. (Source)