Tokenized equities will not immediately attract large-scale institutional investment, Kraken’s co-CEO states.
Kraken’s co-CEO dismissed expectations that tokenized equities will rapidly draw institutional capital into crypto markets. The executive emphasized that adoption will be incremental rather than transformative in the near term.
Tokenized equities, which represent traditional stocks on blockchain networks, have gained attention as a bridge between traditional finance and digital assets. However, regulatory hurdles and infrastructure limitations remain key barriers to broader institutional participation.
The comments follow growing speculation that tokenization could unlock trillions in institutional assets, though Kraken’s stance suggests a more cautious outlook.