Ondo Finance executive says AI-driven demand could push tokenized assets to multi-trillion-dollar scale within a decade.
Tokenization of financial assets is drawing comparisons to the $20 trillion ETF industry, with blockchain and AI convergence expected to drive adoption. The market has already surpassed $33 billion but remains in early stages, according to Ondo Finance’s new head of portfolio products, John Hoffman.
Hoffman, a former Invesco and Grayscale executive, said AI agents will require tokenized assets and onchain trading infrastructure to operate autonomously. This shift mirrors the evolution of ETFs, which began as niche products before expanding into a dominant force in global markets.
Wall Street firms are increasingly experimenting with tokenized bonds, funds, and equities, betting on blockchain’s potential to enhance market efficiency. The sector’s growth trajectory could replicate the ETF boom if AI-driven demand materializes as projected.