On August 5, 2025, IXS hosted a live panel on Navigating the RWA Market, joined by Leon Ploubidis (Kasu Finance), Luke Lombe (Kasu Finance) and Sean White (XDC Network). The discussion explored the macro trends shaping tokenized real‑world assets (RWAs), the impact of the GENIUS Act on global markets and regulatory and infrastructure requirements for scaling RWAs.
If you missed it, catch the recording below.
Key takeaways below.
1. Macro Trends Driving RWA Tokenization
The panel opened by highlighting how institutional interest in tokenized assets has accelerated in 2025, with RWA tokenization surpassing $25 billion.
Key forces driving this growth include:
Institutional Capital Flowing into Yield Products: Traditional finance institutions are increasingly allocating to tokenized short‑term fixed income products - like treasuries and private credit - because they offer secure, predictable yield with faster settlement and transparent ownership on‑chain.
Infrastructure Maturity: Custody, compliance, and token issuance platforms have matured to the point where institutional adoption is realistic. Panelists noted that without trusted custodians, regulatory clarity, and licensed on‑chain rails, large‑scale RWA adoption would remain limited.
Global Appetite for On‑Chain Efficiency: Tokenized assets allow faster, cheaper settlement and fractional access, which are increasingly attractive for cross‑border investors. According to the discussion, Asia and Europe are seeing growing interest in RWAs as regulatory frameworks evolve and as U.S. policy momentum signals global alignment.
2. The GENIUS Act & U.S. Regulatory Momentum
The GENIUS Act marks a turning point for tokenized markets in the U.S.:
Provides clear rules for blockchain‑based representations of traditional securities
Requires stablecoins to be backed by safe reserves like cash or treasuries
Prohibits paying interest simply for holding stablecoins
This has two major implications:
Stablecoin market cap could grow from $250B into the trillions as institutions gain confidence in regulatory clarity.
RWA demand accelerates because the capital used to issue new stablecoins flows into either crypto or tokenized RWAs for yield.
Sean White (XDC Network) summarized it clearly: “The GENIUS Act requires stablecoins to hold safe reserves, like cash or treasuries. That means every new stablecoin effectively connects capital to tokenized assets.”
As Julian (IXS) added “When people are minting stablecoins, they’re either buying crypto or they’re buying tokenized RWAs, and that’s where the real volume will flow.”
The ripple effects are global: markets in Asia and Europe can leverage these developments to scale cross‑border tokenized asset offerings, particularly when paired with locally licensed infrastructure.
3. Where Tokenized Yield Demand is Strongest
Panel insights revealed that short‑duration, lower‑risk instruments currently see the most demand:
U.S. Treasuries and Money Market Funds dominate as entry points for tokenized yield because they are simple, low‑risk, and familiar to institutions.
Private Credit and High‑Yield Bonds are also gaining traction, with the hunt for the most risk-optimized private credit is key.
Institutional investors are prioritizing clarity and compliance over high returns, reflecting a shift from speculative DeFi yield to real, regulated yield.
“A lot of credit funds and asset managers are seeing idle capital that needs to generate yield. On‑chain assets are opening a new opportunity to deploy," said Leon Ploubidis (Kasu Finance).
4. Scaling RWAs: Regulation and Infrastructure
Large‑scale adoption depends on regulatory clarity and institutional‑grade infrastructure working together:
Regulatory Clarity in the U.S., Asia, and Europe is enabling protocols and platforms to expand without fear of retroactive enforcement.
Institutional‑Grade Infrastructure, including custody solutions, compliant issuance rails, and secure settlement networks must be in place before capital can flow in volume.
Partnerships between tokenization platforms, custody providers, and traditional financial institutions will be critical to taking RWAs from pilot projects to mainstream adoption.
5. Closing Takeaways
Each panelist emphasized a pragmatic approach for institutions and builders entering the RWA market:
Compliant short‑term yield products are the natural starting point for institutions
Regulatory momentum (GENIUS Act, stablecoin rules) is unlocking the next phase of tokenized market growth
Licensed infrastructure, transparent processes, and secure custody will define the winners in institutional RWA adoption.
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