Tokenized Stocks Reach $1 Billion Milestone in Real-World Asset Sector
Tokenized stocks have achieved a significant milestone, surpassing $1 billion in total on-chain value, marking a notable advancement for the rapidly expanding real-world asset (RWA) sector. According to Cointelegraph, data from RWA.xyz indicates that the value of tokenized equities has climbed past the $1 billion mark, as platforms offering blockchain-based exposure to traditional stocks are witnessing increased trading activity and liquidity. Much of this activity is concentrated on two networks, with RWA.xyz data and an industry report from Foresight Ventures highlighting that Ondo Finance and platforms associated with Backed Finance’s xStocks products account for the majority of tokenized equity issuance and trading.
On Tuesday, Foresight Ventures released a report suggesting that the market is consolidating around these early leaders, citing regulatory barriers, liquidity advantages, and differing tokenization models as key factors shaping competition in the sector. The report, sent to Cointelegraph, emphasizes that the tokenized stock market has grown rapidly but is increasingly dominated by a small number of platforms. RWA.xyz data reveals that Ondo holds approximately 58% of the market, while tokenized stock products issued under the xStocks platform account for about 24%, forming an early duopoly in the sector.
Alice Li, an investment partner at Foresight Ventures, explained to Cointelegraph that the early leaders gained an edge by making clear structural choices around liquidity, legal frameworks, and distribution. Li noted that building one of these platforms requires liquidity infrastructure, multi-jurisdiction legal rights, and DeFi composability, which often pull against each other. She stated that Ondo and xStocks achieved their current status by making a clear architectural bet early and building deeply around it. Market concentration is not unique to tokenized equities, as DeFiLlama founder 0xngmi pointed out in a post on X, noting that revenue across several DeFi sectors is increasingly flowing to the top two platforms, with similar patterns observed in stablecoins, derivatives, and decentralized exchanges.
The growth of tokenized equities is part of a broader momentum in blockchain-based RWAs. According to RWA.xyz data, the total value of tokenized RWAs excluding stablecoins has climbed to roughly $26 billion, reflecting growing demand for blockchain-based representations of traditional financial instruments. On February 26, the tokenized US Treasury market surpassed $10.8 billion in market capitalization, and at the time of writing, the sector's overall value is at $11.13 billion, indicating continued growth. Trading activity has also accelerated for tokenized RWAs, with trading volumes in tokenized stocks and exchange-traded funds routed through the 1inch aggregator’s integration with Ondo exceeding $2.5 billion since the partnership launched in September 2025.