The next question for financial institutions is no longer “Why tokenisation?” but “How do we implement it at scale?”
For several years, tokenisation has been discussed as a promising evolution in financial markets. Much of that conversation focused on proof of concepts, regulatory uncertainty, and future possibilities.
That is beginning to change.
During our recent webinar, Tokenisation at a Turning Point in APAC, speakers from Fidelity International and Fireblocks joined us to explore how tokenisation is moving into practical implementation across the region. The discussion highlighted a clear shift: institutions are increasingly focused on execution rather than experimentation.
Tellingly, that same shift was also reflected in our global research report Tokenisation Gaining Altitude, which surveyed almost 100 global asset managers and found that tokenisation is no longer in the test-phase for many of them. Across the board, it seems clear: tokenisation adoption is fast becoming mainstream. In the course of the recent tokenisation debate, three major themes emerged.
1. Institutions are asking "how", not "whether"
Perhaps the strongest message from the discussion was how significantly the conversation has evolved.
As Giselle Lai of Fidelity International observed, "the conversations have moved from 'what if' to 'how'." Improving regulatory clarity across major jurisdictions has given firms greater confidence to invest in tokenisation initiatives, while government projects such as Singapore's Project Guardian and Hong Kong's Project Ensemble have helped move the market beyond controlled pilots towards commercial deployment.
Importantly, tokenisation is no longer being driven solely by innovation teams. Banks, asset managers, custodians, and market infrastructure providers are now making strategic investments because they see practical business opportunities emerging today.
2. Success depends on solving operational problems
The discussion also reinforced that technology alone will not drive adoption.
Rather than tokenising products for the sake of innovation, institutions are looking for measurable operational improvements. Better settlement processes, more efficient treasury management, improved collateral mobility, and faster capital deployment all featured prominently during the discussion.
The distinction between today's "digital twin" funds and tomorrow's "digital native" funds illustrates this point. Many tokenised products currently mirror existing fund structures while relying on traditional operating models behind the scenes. The longer-term opportunity lies in designing products that embed ownership records, transfer restrictions, and operational workflows directly into blockchain infrastructure.
For institutions evaluating tokenisation, the question is therefore becoming less about adopting blockchain technology and more about improving existing operating models.
3. Scaling the market requires stronger infrastructure
While momentum is building, the webinar made clear that several challenges remain before tokenised markets can operate at scale.
Liquidity continues to be fragmented across different platforms, interoperability between ecosystems remains limited, and cross-border regulatory frameworks are still developing. Perhaps most importantly, participants highlighted the need for more efficient digital cash solutions to enable seamless delivery-versus-payment settlement.
As Dan Sleep of Fireblocks noted, "the key unlock for scale is going to be the cash leg."
Addressing these infrastructure challenges will determine how quickly tokenised products move from isolated use cases to fully integrated financial markets.
