Stablecoins, Tokenization Rank Higher Than Bitcoin Among Advisors: Bitwise

Financial advisors from major institutions are showing greater interest in stablecoins and tokenization than Bitcoin (BTC), according to Bitwise CIO Matt Hougan. This shift could drive increased investment in these areas, potentially pulling the crypto market out of its current stagnation.

Hougan shared his observations after speaking with over 40 financial advisors this week. “It was pretty hard to engage with advisors on Bitcoin,” he admitted in a memo published Wednesday. Instead, the focus was on the “real-world applications” of blockchain technology, such as stablecoins and tokenization, which are reshaping capital markets and global payments.

Bitcoin, widely viewed as a decentralized store of value, has struggled in 2026, trading down nearly 30% for the year and hovering at $62,770 as of June 11. In contrast, stablecoins and tokenization are gaining traction among both institutional players and regulators. The stablecoin market cap hit an all-time high of $321 billion in April 2026, with USDT maintaining a dominant 59% share. Meanwhile, the U.S. Securities and Exchange Commission (SEC) is reportedly preparing to permit tokenized stock trading, a move that could legitimize the concept for traditional investors.

This growing attention isn’t confined to niche players. Stablecoin issuer Circle, which went public in June 2025, saw its stock surge from $31 at IPO to $240 at its peak before settling below $79 amid broader crypto market volatility. Additionally, exchanges like Coinbase are expanding into tokenized stocks and blockchain-linked services to meet this demand. Outside the U.S., tokenized stock offerings have gained popularity, with intense interest around SpaceX’s upcoming IPO.

“It’s hard to turn on CNBC without hearing about stablecoins or tokenization,” Hougan noted, citing prominent voices like SEC Chair Paul Atkins and BlackRock CEO Larry Fink. He believes these technologies could usher in the next wave of institutional investment, which historically has triggered bull runs in the crypto market.

Stablecoins, particularly fiat-backed models like USDT and USDC, have become essential liquidity tools in the digital asset ecosystem, accounting for an estimated 40–75% of trading volume. However, regulatory clarity remains a key factor in their adoption. New York regulators recently announced plans to align state stablecoin rules with the federal GENIUS Act, signaling a unified approach to oversight.

As for tokenization, its applications extend beyond stock trading. By using blockchain to fractionalize ownership of assets, tokenization could democratize markets and increase efficiency. Ethereum, Solana, and newer platforms like Canton are emerging as infrastructure leaders for these developments, according to Hougan.

The shift in advisor focus could mark a turning point for crypto. While Bitcoin remains a bellwether for the sector, the narrative is increasingly about practical use cases. Hougan summed it up: “New product breakthroughs and new types of investors are what drive crypto bull markets. Stablecoins and tokenization could be the next catalyst.”

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