As real-world asset (RWA) tokenization gains momentum in 2025, MEXC Chief Operating Officer Tracy Jin warns that the rapid shift to digital finance may lead to a structural crisis — not due to technological failure, but because the decentralization promise is being left behind.
“While many people discuss real estate, bonds, and raw materials, they often overlook the fact that tokenization goes beyond simply digitalizing the existing system, it fundamentally changes the asset management model itself,” Jin told Bitcoinist.
The comment comes amid a wave of announcements from global institutions. In the first half of 2025 alone, BlackRock expanded its tokenized fund strategy, JPMorgan reported over $700 billion moved via its Onyx blockchain, and Citigroup introduced Citi Token Services, converting institutional assets into on-chain instruments.
However, Jin sees warning signs.
“Soon, there may be no stocks, commodities, derivatives, real estate, or other major assets left on the markets that are not tokenized or backed by a technology that provides digital offerings of that asset. The global economy will gradually transition toward a blockchain-based system where assets exist primarily as digital representations,” she said.
Centralized Control on a Decentralized Surface
While blockchain is often associated with transparency and disintermediation, most of the tokenization infrastructure being developed today remains permissioned, centralized, and opaque. Governments and banks, in particular, are deploying controlled environments — such as private chains or restricted smart contracts — to manage token issuance, circulation, and compliance.
Hong Kong, France, and Singapore have launched tokenized bond pilots on private blockchains. The European Central Bank plans to issue a digital euro, and China’s digital yuan has already seen over $250 billion in transaction volume. But Jin argues these examples show how blockchain tech can be used without fundamentally shifting power structures.
“If state digital assets are fully controlled by central banks, tokenization technology will merely create a digital version of the current financial system, offering no significant advancements in decentralization”, she said.
A Crisis of Confidence?
Despite growing investor interest — the RWA market is projected to reach between $10 and $30 trillion by 2030 — trading volumes on tokenized platforms remain low. Data from platforms like Securitize show that many tokenized assets suffer from liquidity shortages, and decentralized RWA protocols like Pax Gold (PAXG) trade at a fraction of their traditional counterparts like GLD ETFs.
Jin warns this mismatch could result in the first major tokenization crisis.
“Currently, cryptocurrency market participants remain the main investors in tokenized assets, but the market liquidity is still not large enough to support a significant volume of RWA transactions,” she said.
Not All Doom — but Caution Required
Still, Jin is not against tokenization. She sees it as a necessary evolution of financial infrastructure — if done right.
“If digital government assets begin to interact with open blockchains and smart contracts, we could see a fundamental shift in the core of the financial infrastructure of many nations**,”** she concluded.
As the world races toward a tokenized future, voices like Jin’s serve as a reminder that blockchain innovation isn’t just about moving assets on-chain — it’s about rethinking who controls them once they get there.
