IMF analysis shows tokenized stocks have real demand but remain volatile and illiquid at $2.3B market size, with over half of trading occurring outside U.S. hours.
RWA & Tokenization ·
An International Monetary Fund analysis of tokenized equities found that more than half of trading in the roughly $2.3 billion market occurs outside regular U.S. hours, with roughly 80% of trades involving fractional shares. Tokenized stocks were approximately 1.5 times more volatile than underlying traditional shares and considerably less liquid, though overnight price moves in tokenized equities were largely absorbed by traditional markets at the open. The IMF determined systemic risks remain limited at the market's current scale but recommended regulators consider circuit breakers for around-the-clock trading.