RWA Tokenization Poised for Growth Post-GENIUS Act Passage

Wall Street Expert Hails Legislation as Key for Institutions

New pro-crypto legislation has cleared a major hurdle, potentially accelerating growth for real-world asset (RWA) tokenization, a leading Wall Street innovation, according to Aptos Labs’ chief business officer Solomon Tesfaye.

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RWA Tokenization Poised for Growth Post-GENIUS Act Passage Wall Street Expert Hails Legislation as Key for Institutions RWA Growth Beyond Private Credit, US Treasury Debt

The recently passed Guiding and Establishing National Innovation for US Stablecoins (GENIUS) Act establishes a crucial regulatory framework for the $260 billion stablecoin market, signed into law July 18th by President Donald Trump. Pertinent to the RWA space, many stablecoins are underpinned by tangible assets like government bonds, effectively classifying them as RWAs. Furthermore, stablecoins are viewed as a vital gateway, offering predictability and lower costs between traditional finance (TradFi) and decentralized finance (DeFi).

**Legislative Boost and Institutional Confidence**

Tesfaye stated, “We’re seeing more open dialogue between policymakers and Web3 leaders that is shaping legislation and giving institutions more confidence to commit to longer digital asset roadmaps. The GENIUS Act is one of the strongest signals that Congress is ready to support responsible blockchain innovation.” This shift follows significant bipartisan push during a previous “crypto week” session in the House.

RWA Growth Beyond Private Credit, US Treasury Debt

Recent reports indicate tokenized asset markets have been significantly driven by private credit (nearly 60%) and tokenized US Treasuries (around 28% according to RWA.xyz data). “Initial adoption has centered on legacy assets settling faster and trading easier. Look beyond today’s focus groups,” Tesfaye commented, adding:

“Looking ahead, we can imagine a future where RWAs expand into more complex asset classes like derivatives, IP or other esoteric categories. As the financial infrastructure matures, tokenization will unlock entirely new financial products and global participation.”

Private credit made up nearly 60% of the RWA market as of June, tokenized US Treasurys were second-largest.

**Aptos Emerges as a Hub**

Aptos Labs is noted as a significant hub in the RWA tokenization sphere. Tokenized assets on the Aptos blockchain surpassed $540 million in mid-June, driven by key players like BlackRock. Tesfaye described this as “just a starting point” for RWA adoption growth.

**Stablecoin Insights**

Though stablecoins are often excluded from core RWA metrics, they constitute a critical $261 billion market in the U.S., playing a pivotal role in bridging finance and digital assets, with the space showing sustained growth.

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