Global Report on Digital Development, Volume 3, Issue 46 (November 10, 2025 - November 16, 2025)
This issue reviews and revisits relevant content from the Boston Consulting Group's report on asset tokenization for reference.
In 2023, the world's top consulting firm, Boston Consulting Group (BCG), and Libre Capital, which focuses on digital assets, jointly released a research report entitled "Tokenization Has Huge Potential, But Has Not Yet Been Realized." This report was published against the backdrop of a cryptocurrency market downturn and the global search for new growth drivers. It points out the vast potential of tokenization as a new blue ocean, but also frankly acknowledges the reefs and shallows encountered in the current voyage.
I. A Glimmer of Rationality and a Call for Paradigm Revolution Amidst the Winter of Despair This report is released at a highly charged historical juncture. Industry Reflections in the Post-Bubble Era. From 2022 to 2023, a series of crises, exemplified by the FTX collapse, cast a shadow over the crypto industry, shifting market sentiment from euphoria to pessimism and skepticism. Against this backdrop, the industry urgently needs to shed its "speculative hype" label and return to the real economy. BCG, as a think tank for the traditional financial world, represents an effort to "get to the root of the problem," attempting to redirect market attention from price fluctuations to the underlying value of blockchain technology—asset tokenization. The cautious entry of traditional financial giants. Meanwhile, BlackRock, Fidelity, and other traditional financial giants have applied for Bitcoin spot ETFs and are actively exploring applications such as tokenized funds. This indicates that mainstream capital has recognized the potential of distributed ledger technology (DLT), but needs a clear and credible roadmap. The BCG report plays precisely this role, providing decision-making support for hesitant institutional investors. Global economic efficiency bottlenecks. At the macroeconomic level, there is an urgent need globally to improve capital efficiency, reduce transaction costs, and release liquidity from existing assets. Tokenization is considered one of the key technological paths to solving these problems. The report systematically assesses its feasibility in response to this "paradigm revolution." Therefore, this report is not icing on the cake during an industry boom, but rather a timely help during a downturn, aiming to dispel the fog with data and models and guide the mainstream direction of the next development cycle. II. Constructing a Complete Analytical Framework of "Potential-Obstacles-Path" The core content of the report revolves around a central paradox: the huge gap between enormous theoretical potential and lagging practical application. Its analytical framework is clear and rigorous. 1. Quantifying Potential: A $16 Trillion Market Prospect The report's most striking conclusion is that the size of tokenized assets could reach $16 trillion by 2030. This figure is not speculative, but based on a step-by-step analysis of different asset classes: Global Non-Financial Corporate Debt (approximately $12 trillion): Tokenization enables more efficient issuance, settlement, and asset management. Investment Funds (approximately $1.5 trillion): Especially in private equity and venture capital, tokenization can significantly improve liquidity and accessibility. Real Estate (approximately $0.5 trillion): By fragmenting ownership, liquidity in this huge existing market can be released. Other areas, such as SME financing and supply chain finance, constitute the remaining potential space. 2. Systemic Diagnosis of Obstacles: Four Major "Stumbling Blocks" The report sharply points out that the potential has not been released due to four major structural obstacles: Regulatory uncertainty is the biggest bottleneck. Globally, the lack of a clear framework regarding the legal status, tax treatment, and cross-border compliance of tokens has deterred institutions from taking action. The market infrastructure is immature; back-end systems such as custody, clearing, settlement, and price discovery for digital assets have not yet formed a reliable and interconnected ecosystem like traditional finance. Technical interoperability is insufficient; different blockchain networks and protocols act as "data silos," hindering the free flow of assets between different systems and limiting the formation of network effects. Scalability and operational challenges exist; some current blockchains still have limitations in transaction speed, gas fees, and energy consumption, and the operational process of putting traditional assets on-chain is complex. 3. Outlining a Breakthrough Path: From "Bridge" to "Native" The report outlines a clear evolutionary path for industry participants: Short-term: Focus on building bridges between "traditional" and "digital." For example, issuing tokenized funds and bonds as supplements to existing financial products, primarily serving institutional investors. Medium-term: Develop key market infrastructure such as institutional-grade custody solutions, on-chain identity verification, and cross-chain protocols. In the long term, as the regulatory framework improves and technology matures, entirely new business models and asset classes native to blockchain will emerge, fundamentally changing the landscape of financial markets. III. Business Insights Beyond the Technological Narrative The report goes beyond simple technical discussions, offering several highly insightful business perspectives. "Liquidity premium" is the core value proposition. The report emphasizes that the primary value of tokenization is not technological innovation itself, but rather the "liquidity premium" it brings to illiquid assets such as private equity, real estate, and art. Through fragmentation and 24/7 trading, the value of these dormant assets will be reassessed, which is the fundamental driving force for issuers. "Institutional grade" is a key threshold for success. The report repeatedly points out that for tokenization to become mainstream, it must meet the stringent requirements of institutional investors in terms of compliance, security, and risk management. Therefore, the key to the next stage of competition lies not in developing the most dazzling public chains, but in building the most trusted "financial-grade" infrastructure. Regulation is a "guardrail," not a "roadblock." Unlike the resistance to regulation from some in the industry, the report regards clear regulation as a prerequisite for market development. It calls on industry participants to proactively cooperate with regulatory agencies to jointly formulate rules, because only in an environment with laws to follow will large-scale capital dare to enter. Tokenization is process reengineering, not simply putting things on the blockchain. The report warns that if existing assets are merely "copied" onto the chain without restructuring the underlying issuance, trading, and service processes, the value of tokenization will be significantly diminished. The real potential lies in using smart contracts to automate and intelligently manage business processes. IV. A Perfect Combination of Authority, Pragmatism, and Foresight This report has garnered significant attention due to its distinctive features. Authority and Credibility. BCG's brand endorsement gives its views considerable weight in the traditional business and financial world. This is not promotional material for a crypto-native project, but a strategic analysis grounded in global economic realities, making it more readily accepted by mainstream decision-makers. Data-driven and quantitative models. The report avoids vague trend descriptions, instead quantifying market potential through detailed data and rigorous models, making its conclusions more persuasive and actionable. A systemic perspective. Instead of simply attributing problems to technology or regulation, the report employs a systemic analytical framework, revealing the interplay and constraints of multiple dimensions such as technology, market, regulation, and operations, providing a more comprehensive picture. Practical action guidelines. The report not only analyzes "what" and "why," but also provides guidance on "how." It offers specific action recommendations for asset issuers, technology providers, investors, and regulators, making it highly practical. V. Defining the Track and Shaping the Blueprint for the Future The release of this report has had an immediate and profound impact on the industry. It has sounded the "rallying call" for institutional entry. It sends a clear signal to banks, asset management companies, and stock exchanges worldwide: tokenization is a definite future trend, and strategic planning and capability building must begin now. This accelerates the digital transformation of traditional finance. Guiding the flow of capital and talent. The obstacles and pathways identified in the report provide direction for venture capital, startups, and R&D talent. In the future, resources will be more concentrated in key infrastructure areas such as compliant technology, institutional custody, and interoperability protocols. Setting the agenda for industry dialogue. The framework and terminology proposed in the report (such as the $16 trillion potential and the four major obstacles) have become the common language of industry discussion, influencing the development direction of numerous subsequent seminars, articles, and projects, and playing a role in defining the track. Promoting dialogue between regulators and industry. With its objective and neutral stance, the report serves as an important bridge connecting regulators and industry innovation. This report from Boston Consulting Group and Libre Capital, with its broad vision, calm analysis, and pragmatic recommendations, successfully paints a precise "chart" for the development of tokenization. It tells us that there is indeed a vast new continent worth $16 trillion ahead, but reaching it requires navigating the fog of regulation, repairing the hull of the infrastructure, and mastering the technology for collaborative navigation. The significance of this report lies not in predicting an inevitable bright future, but in pointing the way for all voyages, identifying risks, and providing a rational path to the other side. In the long journey of tokenization from potential to reality, it is undoubtedly an important beacon.
Kikyo
Brian
Alex
Joy