Standard Chartered projects $4 trillion in tokenized assets onchain by 2028, with mature DeFi protocols as the main beneficiaries.
Summary
- Standard Chartered forecasts $4 trillion in tokenized assets by end-2028, split evenly between stablecoins and real-world assets.
- Mature DeFi protocols with strong risk metrics will capture the bulk of the throughput, the bank said.
- Passage of the CLARITY Act is viewed as the most significant near-term catalyst for the shift from traditional rails.
Standard Chartered projects that $4 trillion in tokenized assets will sit onchain by the end of 2028, evenly split between stablecoins and real-world assets. The forecast positions established DeFi protocols as the main winners.
Geoffrey Kendrick, the bank’s global head of digital assets research, said DeFi’s composability allows the same asset to generate yield, serve as collateral, and trade for liquidity without traditional intermediaries.
BlackRock BUIDL anchors the thesis
Kendrick cited BlackRock’s BUIDL fund as proof of concept. The $2.85 billion tokenized Treasury fund earns Treasury yield, converts to sBUIDL for DeFi compatibility, and serves as core reserve collateral for Ethena’s USDtb and Ondo’s OUSG.
Aave, the largest DeFi lending protocol, processed daily stablecoin lending volumes between $1.5 billion and $2 billion at its peak. Coinbase’s lending product with Morpho has reached $1.75 billion in loans.
CLARITY Act seen as key catalyst
Kendrick views passage of the CLARITY Act as the most significant near-term catalyst for accelerating the shift from traditional rails to DeFi. The bill cleared Senate Banking 15-9 on May 14 and now heads to a full floor vote.
The projection consolidates two forecasts Kendrick has maintained separately: a $2 trillion stablecoin target and a $2 trillion RWA market, both by end-2028. The bank reaffirmed the RWA call in April despite recent DeFi exploits.
DeFi seen as primary beneficiary
There are currently roughly 1,000 times more assets offchain than onchain, according to the note. Kendrick believes tokenizing institutional-grade assets is the most likely source of growth, with protocols that scale safely positioned to benefit most.
“TradFi operators moving assets onchain will favor established players with strong risk metrics,” Kendrick wrote. Aave, Compound, and Morpho are positioned to lead, with Ethereum remaining the dominant settlement layer.
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