🚀 The RWA Pod Launches Today, Broadridge DLR Nears $6T in Monthly Volume, 2 Crypto IPOs, and More RWA News

Summary and Key Takeaways

1. London Stock Exchange Group Launches Tokenization Platform for Private Funds; MembersCap and Archax First to Use

You never know what you’re going to wake up to on a Monday morning. Last week we saw Nasdaq file with the SEC to trade tokenized stocks and this week LSEG is launching their tokenization platform in partnership with Microsoft Azure. To no surprise the name, Digital Markets Infrastructure (DMI), isn’t too creative but what matters is execution and in this case DMI already has their first customer. Through Archax acting as nominee, MembersCap’s MCM Fund 1 has begun their raise using LSEG’s DMI with EJF Capital’s offering fast-following. It’s obvious that traditional infrastructure is finally understanding how tokenization is impacting their businesses and adapting accordingly. That said, both Nasdaq and LSEG have a ways to go in truly taking advantage of the onchain economy but this progress on both sides is a strong move in that direction. Remember, institutions were crawling in the Gensler era and now we’re seeing them start to walk especially with new optimism in the space with Paul Atkins at the helm of the SEC and unlocking the US market. This week we also heard him reaffirm that onchain capital markets should come “without endless legal uncertainty” which only adds fuel to the fire. When do you feel institutions will graduate from walking to running?

2. Crypto Company IPOs Continue to Boom: Figure and Gemini

Shifting focus to companies whose stock trades ON these exchanges, both Figure and Gemini added to the crypto IPO momentum by listing on Nasdaq last week. Figure raised their IPO price from what originally was thought to be in the $18-20 range to $20-22 and ended up actually IPOing at $25 - talk about demand! And Gemini? Their range was from $24-26 and increased their IPO price to $28, opening at $37.01. This builds on Circle, Bullish, and others’ successful IPOs earlier this year and we’ll likely see more in the coming months. Who do you think is next? Who knows maybe next year we’ll see an onchain IPO on Nasdaq given their recent filing with the SEC for tokenized stocks and announcement of a $50M investment in the Winklevoss twins’ company.

3. Fidelity Enters Tokenized MMF Race with $FDIT, Joins $BUIDL, $BENJI, and Others in Backing Ondo’s OUSG

The yieldcoin race isn’t over by a long shot! Issuers continue to come to market with tokenized money market funds and Fidelity just came in with a whopping $202M starting AUM in their new Fidelity Digital Interest Token (FDIT). As the largest issuer of money market funds ($1.6T AUM) we can expect their onchain AUM to grow tremendously as future funds get tokenized. Specific to FDIT, their large allocation from Ondo is a strong side of confidence, joining other high-quality issuers like BlackRock, Franklin Templeton, WisdomTree, Wellington, and more in backing the OUSG token. Why is this part relevant? This shows how fintechs are building on top of institutional participants, given that OUSG is accessible to individual investors (accredited) at $5K minimum vs. the FDIT $1M minimum. These OUSG inflows will flow to the institutional funds backing them giving the institutions a good reason to build something the onchain economy can interact with. This will continue to happen as we go up the risk curve, just as we saw WisdomTree now issue their onchain private credit and alternative income fund ($CRDT) which will of course increase utility.

4. Broadridge Reaches $5.9T in Monthly Repo Volume

Are there really just tens of billions in RWAs? No. Not by a long shot. Canton Network is powering a lot of institutional activity including Broadridg’e Distributed Ledger Repos (DLR). What we reported in 2023 as $1T in monthly volume has now been tracked by Kaiko and confirmed growth to now almost $6T per month! That’s crazy growth and will only continue to do so as more of their counterparties onboard to Canton Network. Back in 2023 the savings was estimated at $1M for every 100,000 transactions. The savings have probably increased by now but given these numbers, can you find out how much in savings they’re seeing per month? Per year? A huge motivator for any institution to consider upgrading their infrastructure and Broadridge has clearly been leading by example for years. If you want to hear directly from them, check out this year’s TokenizeThis panel on Onchain Payment Rails and Settlement. 

5. The RWA Pod Launches Today at 11am ET!

RWA project tokens have already proven to be successful with $ONDO and others creating top 100 tokens on the crypto leaderboards. In fact, if you look closely there are many RWAs themselves or blockchains that are converting their identity into RWAs and tokenization. The RWA Foundation is releasing a way for anyone to stake what could be the next wave of top 100 tokens to make it from the RWA category. Plus, you’ll be the first to earn WALLY too! 

In partnership with Perq, you can deposit numerous cryptos and USDC to participate while the RWA Pod remains open for 90 days.

This is not financial advice.

Special Announcement

The NYC RWA Meetup is hosting Capital Markets & Cocktails: The Institutional RWA Event tonight @ 6:30pm at Unveiled Bar Room.

Sponsored by Chainlink, Hypernative, and Transparent Capital, this is our sixth NYC RWA Meetup — now 1,000+ members strong. At our last event, we hosted Plume and the ex-Head of Digital Assets at Goldman Sachs.

STM.co Data

This is not financial advice.

Think Like Herwig

Hello readers,

It feels like everyone is happening all at once right now! For one, after six years of the Security Token Show it hits close to home to release the final and 300th episode. No other source out there will have tracked the adoption of RWAs past 2020 week after week. Shout out to Kyle, all our guests, the team behind it, all our viewers, and the industry itself for making this show possible!!

But also the RWA Pod launches today, the culmination of a lot of hard work from myself and also the rest of our founding members of the RWA Foundation. We’re bringing crypto natives to RWAs in spectacular fashion and I have a special place in my heart for all that contribute to the RWA Pod, especially those who do in the first 24 hours of going live! 

I’ve published an RWA manifesto on X if you care to read it. We’re entering a new chapter of this industry and it’s one that will bring daily exhilaration, conflicts, and, most of all, progress. DeFi, TradFi, and government are all converging on RWAs simultaneously and it’s going to lead to growth like we’ve never seen before and many can’t fathom even today (despite platforms like Broadridge doing $6T/ month in repos or stablecoin volume reaching trillions a year).

I’m negotiating some exciting things at this time I can’t speak on yet as well. Wow, what’s not to be happy about?

Happy tokenizing, 
Herwig “Happy” Konings
CEO, Security Token Group 

Follow me on X / LinkedIn

Company of the Year 2025

Episode 300 is our FINAL EPISODE of The Security Token Show, so Herwig and Kyle have gone ahead and chosen their Company of the Year for 2025. Who is it?

None other than Figure - a huge congratulations to Mike Cagney, June Ou, Michael B. Tannenbaum, and their whole team! Why did they win? Find out on The Security Token Show!

Reports

RWA Tokenization: Key Trends and 2025 Market Outlook

Check out a report we contributed to: RWA Tokenization: Key Trends and 2025 Market Outlook. Led by Brickken, this report brings multiple parties together in diving into tokenization, with STM.co supporting with both data and some of the written sections.

What’s Inside?

✅ A Breakdown of Tokenization and Related Benefits
✅ Key advantages for issuers, investors, and institutions
✅ How the market is evolving and trends shaping adoption in 2025
✅ What’s next? Expert insights on regulation, DeFi integration, institutional involvement, and market growth

STM’s RWA Market Prediction for 2030

STM.co is proud to release a thorough report on our prediction on the tokenized real world asset market growth. This report explores the variety of opportunities within each asset class to capture value on-chain.

Tokenization can be applied to just about any object and asset type. Art, carbon credits, life insurance, and other sub $5 trillion asset classes weren’t even considered in estimates.

In order for STM to derive its 2030 market predictions, the following asset classes were evaluated: currency, M2/M3, real estate, commodities, public equities, private companies and funds, bonds, credit and lending markets.

This is not financial or investment advice.

Helpful Resources

• $30 Trillion by 2030 - STM

• Global Tokenized Real Estate Market Guide 2024 - STM

• TokenizeThis 2024: Highlights and Key Takeaways - STM

• TokenizeThis 2023: Highlights and Key Takeaways - STM

• State of Security Tokens 2023 - Q4 - STA

• State of Security Tokens 2023 - Q3 - STA

• State of Security Tokens 2023 - Q2 - STA

• State of Security Tokens 2023 - Q1 Extended - STA

• Real-World Asset Tokenization 2023 According to STM - STM

• Tokenizing an Asset in 3 Easy Steps - Security Token Show

• Rich Data in Private Assets - STM

• State of Security Tokens 2022 - STA

• State of Security Tokens 2023 - Institutional Edition - STA

• Tokenization for Institutions - What You Need to Know - STM, Arca (YouTube)