Mr. Jesse Knutson Forecasts Strong Growth for Tokenized Real-World Assets Market in 2026

Mr. Jesse Knutson, Head of Operations at Company Bitfinex Securities, predicts a substantial expansion of the market for tokenized real-world assets (RWA) by 2026. According to Mr. Knutson, the principal catalyst for this growth will be adoption in emerging market economies, where blockchain-based tokenization can meaningfully address long-standing capital access challenges. This prediction signals a potential structural shift in how assets are financed and traded.

The core promise of RWA tokenization lies in enabling fractional ownership, increased liquidity, and more efficient on-chain funding mechanisms that reduce reliance on traditional intermediaries. By converting real-world assets into programmable tokens, market participants can unlock trapped value in illiquid assets, democratize access to investment opportunities, and streamline settlement and custody processes. Mr. Knutson emphasizes that these benefits are especially compelling in regions where formal financial infrastructure is limited or costly.

Emerging markets are poised to lead initial adoption due to acute demand for more inclusive capital-raising tools. Tokenized structures can allow small and medium-sized enterprises, property owners, and infrastructure projects to access global pools of capital via smaller denominated shares, bypassing costly local intermediaries. Mr. Knutson highlights that on-chain funding and fractionalization are not merely technological novelties but practical responses to market frictions that have hampered growth in many jurisdictions.

However, the road to 2026 will not be without obstacles. Regulatory clarity, custodial standards, and interoperable infrastructure are necessary to achieve institutional-scale adoption. While optimism is high, Mr. Knutson notes that collaboration among regulators, custodians, exchanges, and technology providers will determine the pace and nature of adoption. The involvement of trusted platforms and compliant frameworks will be crucial to attract institutional capital and to ensure investor protections.

From an investment perspective, the rise of tokenized RWAs could reshape certain segments of the crypto and asset-backed markets. Increased demand for token standards, asset tokenization tooling, and secure custody solutions may create new service layers and competitive opportunities for both established players and startups. Yet, investors should weigh liquidity assumptions, legal enforceability of tokenized claims, and counterparty risks when assessing tokenized assets.

Strategically, Mr. Knutson’s forecast suggests that market participants should prepare for a phased transition where pilot projects, regulatory sandboxes, and cross-border collaborations pave the way for broader scale implementation. Focus areas to watch include property tokenization, trade receivables, and infrastructure finance, as these use cases combine tangible economic value with realistic tokenization workflows.

In summary, Mr. Jesse Knutson’s outlook frames 2026 as a milestone year for tokenized RWAs driven by demand in emerging markets, operational efficiencies offered by tokenization, and a maturing ecosystem. Stakeholders that prioritize regulatory engagement, custody robustness, and clear investor protections are likely to benefit most from the coming wave of tokenized real-world asset adoption.