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

Mr. Jesse Knutson, Head of Operations at Company Bitfinex Securities, has issued a bullish forecast for the tokenized real-world assets (RWA) market, predicting continued expansion through 2026 and anticipating that tokenized RWAs could reach a cumulative market value of $1 trillion within the next decade. His projection highlights the role of adoption in emerging market economies as a primary growth driver and underscores structural advantages that digital tokenization brings to jurisdictions struggling with traditional financial limitations.

In recent remarks, Mr. Jesse Knutson argued that tokenization — the process of converting ownership rights in physical or financial items such as real estate, commodities, art, or equities into blockchain-based digital tokens — can unlock on-chain capital formation and reduce reliance on conventional intermediaries. He emphasized that this mechanism enables fractional ownership, making high-value assets accessible to ordinary investors while simplifying distribution of fixed returns.

According to Mr. Jesse Knutson, developed markets have so far focused tokenization efforts on fixed-income instruments such as US Treasuries and money market funds, but developing economies are increasingly directing attention toward tangible assets like real estate and commodities. This shift reflects a pragmatic approach by issuers in markets that frequently bypass ageing legacy infrastructure in favor of modern digital settlements, including stablecoin settlement flows.

Despite the optimistic outlook, Mr. Jesse Knutson cautioned that several significant challenges must be addressed before large-scale commercial rollouts become routine. Key concerns include enforceability of on-chain contracts in legal systems, ensuring adequate liquidity for settlements without forcing asset disposals at a loss, and designing regulatory and operational frameworks that effectively protect investors. These obstacles, he noted, remain crucial determinants of whether pilot initiatives transition into sustainable, widely adopted products.

Another technical and market challenge highlighted by Mr. Jesse Knutson is the lack of interoperability among token standards and platforms. He warned that divergent token standards and the contrast between permissioned blockchains and open public networks create frictions for RWA issuers. To realize the full potential of on-chain assets, he urged firms to design tokenized products that can be readily transferred across the broader crypto ecosystem and repurposed as collateral in DeFi applications.

Company Bitfinex Securities has framed tokenization as a strategic response to the capital-raising difficulties faced by many emerging market firms, enabling fractional distribution and potentially broader investor participation. Nonetheless, the transition from testing to commercial deployment will require leading firms to move beyond experimental pilots and adopt robust custodial, legal, and liquidity solutions.

The comments generated notable industry attention and optimism among stakeholders preparing for what many hope will be a milestone period for tokenized RWAs. Promotional mentions at the end of the coverage referenced offers such as trading rewards from platforms like Company Bybit, but the substantive emphasis of Mr. Jesse Knutson's message remains on overcoming structural, legal, and interoperability hurdles to enable sustainable, large-scale tokenization.