Nasdaq CEO Adena Friedman addressed the TOKEN2049 conference in Singapore and underscored the vast potential of tokenization to unlock liquidity in today’s financial markets. Friedman estimated this innovation may free up tens of billions of dollars currently tied up in existing capital structures, enabling more efficient financial transactions.
Tokenization attracts institutional and retail interest
Tokenization refers to the process of representing financial assets such as stocks and bonds as digital tokens that can be transferred securely using blockchain technology. This change is gaining traction, particularly among institutional investors, driving increased momentum for regulatory clarity and real-world adoption.
Friedman pointed out that over the past year, interest from major financial institutions has risen, contributing to the passage of the GENIUS Act in the United States, which established new regulations for stablecoins. This greater institutional demand meets continued enthusiasm from retail participants.
She noted that retail investors, who have long favored the convenience and flexibility of 24/7 trading, have been ahead of institutions in pushing for more accessible markets. However, Friedman acknowledged that fully adopting round-the-clock trading could require significant updates to the financial infrastructure. Artificial intelligence, she said, is likely to assume an expanding role in real-time risk management as a result.
Global expansion and rapid market growth
Echoing Friedman’s perspective, Arjun Sethi, co-CEO of Kraken, said companies based outside the U.S. are increasingly looking at tokenization to widen their access to American capital markets. Sethi asserted that tokenization has the potential to open new investment opportunities and promote global participation in capital markets.
The tokenized stock sector has witnessed remarkable expansion, growing 473% this year to reach a $3.75 billion market capitalization, according to data from Token Relations. Leading issuers in this space include Ondo with $980 million in tokenized assets, xStocksFi with $954 million, and Binance bStocks managing $877 million.
Securitize has emerged as a key player, issuing $341 million in tokenized equity and bringing its flagship tokenized stock SECZ to $328 million—the single largest in the market. When broken down by network, BNB Chain accounts for $1.19 billion in tokenized stock value, while Ethereum and Solana boast $832 million and $734 million, respectively.
Tokenization could allow banks and financial institutions to move collateral more efficiently, freeing up capital and creating major opportunities for the crypto sector.
New launches and the importance of timing in the meme token space
On October 8, Securitize expanded its offerings by launching Securitize Stocks on Solana, enabling users to access Apple, Amazon, Tesla, and nine other U.S. company stocks as tokenized assets with 1:1 backing.
As investors monitor emerging trends in on-chain asset tokenization, close attention to timing and project selection has become increasingly important—not only for tokenized blue-chip stocks but also for high-risk, high-reward meme tokens. In the meme token market, an internet trend can transform into millions of dollars of interest within days. According to data shared by Fomo App, a notable trade involved “Niu Lai,” which turned a $99 investment into approximately $370,000, illustrating the intensity and speed of such markets. Fomo App offers integrated token discovery, trading, investor rankings, and social features, enabling market participants to track both prices and investor activity.
Institutional interest has surged and retail investors remain a step ahead, but transforming legacy financial systems to enable round-the-clock trading will demand robust technical and regulatory progress.
