Tokenization Isn’t Waiting on Regulation, Says Prometheum’s Co-Founder
The tokenization of real-world assets is picking up serious momentum. From treasury bonds to private credit and real estate, investors are increasingly showing interest in digital versions of the assets they already know and trust. The total value locked in tokenized RWAs has ballooned to nearly $20 billion. And yet, many still believe regulation is the main reason adoption isn’t happening faster.
But Prometheum co-CEO Aaron Kaplan says that belief is misplaced.
“Contrary to popular belief, however, the hurdle isn’t ambiguous regulation,” Kaplan told Cointelegraph. “The real bottleneck lies in the limited market infrastructure for delivering tokenized securities trading to a broad investor base.”
In other words, it’s not that the U.S. government hasn’t provided a path forward — it’s that the tools and platforms needed to trade tokenized assets still don’t really exist at scale.
Regulation Is Already in Place
Kaplan points to existing SEC frameworks like the special purpose broker-dealer license and Alternative Trading System (ATS) registration as proof that U.S. rules already support the launch of tokenized securities — even blockchain-native ones.
These designations, while not widely used yet, allow approved firms to custody and trade digital securities under existing U.S. law. That’s a huge deal because it means regulated tokenized assets don’t need to operate in a gray area.
So why aren’t more asset managers and fintech firms jumping in?
Because once the tokens exist, there’s still nowhere easy to trade them.
“These assets currently sit on a handful of blockchains, but there is still no fully public secondary market where institutional and retail investors can buy, sell, and trade them, as they do with traditional securities on Nasdaq or through a brokerage account like Fidelity,” Kaplan explained.
In other words, the infrastructure is missing — not the legal clarity.
Who Will Build These Markets?
Kaplan believes there are two ways this could go.
One path is the decentralized route, where companies like Ondo Finance, Ethena Labs, and Securitize are trying to build tokenized securities markets using DeFi tools.
The other path is more traditional — plugging tokenization protocols into existing brokerages that already follow SEC rules. That could mean fintech firms or crypto-native companies expanding into tokenized securities.
“Legacy crypto and fintech platforms are already accustomed to facilitating cryptocurrency trading, so you would expect them to seek to broaden their offerings to include tokenized securities,” Kaplan said.
But he also warns that legacy brokerages won’t go quietly. “Many are already investing in their own tokenization initiatives, or partnering with fintech and crypto firms, to remain competitive.”
Real Estate Is Already Leading the Way
Some of the earliest traction for tokenized RWAs is happening in real estate. Luxury and commercial buildings across North America have been tokenized, and secondary markets are starting to form. That means you don’t need millions to invest in property anymore — just a few hundred dollars and a token.
For example, someone could own a fraction of a Miami condo or a Manhattan office building through tokenized shares, which may pay out rental income or profit from property appreciation.
This isn’t just good for retail investors. It’s also a way for asset managers and developers to access capital more efficiently — without relying solely on banks or traditional funding routes.
The Boston Consulting Group called tokenization a “game-changing blockchain use case in financial services.” Their research suggests it could add $100 billion to investor returns annually, while opening up new revenue streams for institutions.
And it’s not just because digital assets are more fun or novel. It’s because they’re more efficient.
Tokenization makes collateral more mobile. It allows assets to settle instantly. And it can be more transparent than traditional systems that rely on centralized databases and outdated paperwork.
The big question now?
Will the next generation of digital securities markets be built by crypto-native platforms? Or will the Fidelitys and BlackRocks of the world simply adapt and absorb?
And whoever builds the best infrastructure — will win the race.
TokenFi’s upcoming RWA (Real-World Asset) Tokenization Module promises to make the whole thing simple — no coding, no complex setup. The goal is to allow anyone, from real estate developers to small business owners to creators, to tokenize their assets in just a few clicks.
