The market capitalization of tokenized stocks is predicted to surge to approximately $190 trillion within the next two decades, according to fresh
forecasts released by Galaxy Research.
This projection follows Galaxy’s pioneering step of tokenizing its own stock on the Solana blockchain through Superstate, a company specializing in compliant tokenization solutions.
Commenting on the initiative, Alex Thorn, Head of Research at Galaxy, stated:
“Onchain GLXY represents genuine Galaxy Class A Common Stock. Holding the token equates to owning common equity in Galaxy, similar to purchasing our stock through a traditional brokerage account. This is an unprecedented move for a publicly traded company in the US.”
As of the time of reporting, data from Dune Analytics indicates that 32,374 Galaxy Class A shares have been issued on the Solana network, held by 21 individual token holders.
The company believes that this action underscores its belief in the viability of tokenization and serves as a potential model for publicly listed firms seeking to broaden market accessibility.
The ‘Uniswap Moment’ for Tokenized Assets
In light of these developments, the firm developed different models—bear, base, and bull scenarios—to illustrate how widespread blockchain adoption might revolutionize financial markets as decentralized trading gains significant traction.
Galaxy characterizes this key turning point as a “Uniswap moment,” signifying a period when on-chain trading is broadly perceived as more equitable, efficient, cost-effective, and secure than existing traditional systems. During this phase, traditional centralized exchanges are predicted to steadily cede market dominance to blockchain-driven platforms.
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In the immediate future, Galaxy forecasts that tokenized equities could represent between 0.7% and 4.6% of the overall US market capitalization within the first two years of adoption – translating to $0.5 trillion to $3.3 trillion.
Under a favorable 10-year scenario, tokenized stocks could seize 40% of the market, amounting to nearly $50 trillion.
Looking further ahead to a 20-year timeframe, the projections diverge even more. A conservative (bear) case estimates tokenization will achieve 12% penetration of the US equity market, or $29.5 trillion, while an optimistic (bull) case envisions penetration as high as 78%, equivalent to an estimated $189.9 trillion.
Intriguingly, the firm suggests that trading activity could follow a comparable growth pattern.
In the best-case scenario, Galaxy anticipates that tokenized equities might constitute 93% of all US equity trading volume, fundamentally transforming liquidity, settlement speeds, and investor access.