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Tokenization's Shift in Financial Services: A Broadridge Report Overview

In the rapidly evolving landscape of financial technology, tokenization stands out as a transformative phenomenon, shifting from mere speculation to real-world applications. This trend is thoroughly examined in Broadridge Financial Solutions, Inc.’s latest report entitled Next-gen markets: The rise and reality of tokenization. The findings present a detailed picture of how tokenized assets are reshaping the financial services sector.

A Surge in Adoption

Broadridge, a key player in the global Fintech arena, has reported significant strides in the adoption of tokenized assets. According to their recent 2025 Tokenization Survey, about 63% of custodians are already providing tokenized assets, with an additional 30% set to follow suit within the next two years. This marks a dramatic shift towards embracing digital asset offerings, contrasting the relatively cautious approach of wealth managers, where only 10% are currently offering such products.

Germán Soto Sanchez, Broadridge's Chief Product and Strategy Officer, emphasized the transformative benefits that custodians are witnessing, citing efficiency, security, and innovation as pivotal factors that come from adopting tokenized assets. The report underscores the necessity for institutions to focus on delivering secure customer experiences while strengthening governance and building scalable tokenization infrastructures.

Asset Managers and Wealth Managers: Different Paces

Interestingly, while custodians are leading this charge, asset managers are not far behind. Currently, only 15% of asset managers have tokenized products in their portfolios, but the survey indicates that a notable 41% plan to enter this space soon. Tokenization not only enhances operational efficiency but could also be crucial for asset managers to remain relevant amid growing interest in digital assets from investors.

Conversely, wealth managers appear to be more conservative. With only 10% currently providing tokenized products and 33% contemplating adoption within the next two years, they are trailing behind their custodian counterparts. The reasons for this latency include concerns over operational complexity and fears regarding disintermediation from direct-to-investor models. Nevertheless, recent activities from various firms concerning tokenized equities suggest a potential shift in perspective.

Overcoming Challenges in Adoption

Despite its potential, tokenization adoption is not without barriers. In fact, regulatory uncertainty emerged as the primary challenge recorded by 73% of respondents in the survey. Besides regulatory complications, concerns regarding security, gaps in existing infrastructure, and the absence of standardized protocols also hinder wider adoption.

Early adopters, however, are already reaping benefits. Those leading the way in tokenization report an average of four to five tangible advantages, while those who are hesitant recognize fewer than three positives associated with this innovation. The growing gap between these two groups highlights the urgency for institutions to embrace tokenization to not fall behind.

Broadridge as a Leading Supporter

Broadridge's influence in the tokenization space cannot be overlooked. Their Distributed Ledger Repo (DLR) solution has consistently processed impressive trade volumes, averaging about $339 billion per day in September alone. Notably, Broadridge stands as the world's largest institutional platform for the trading of tokenized real assets. The organization is determined to further support digital asset trading through its advanced technological frameworks.

The Path Forward

For tokenization to achieve widespread acceptance, robust technology partnerships and clear regulatory guidelines are essential. Furthermore, institutions must view tokenization not as a side project but as a fundamental aspect of their strategic offerings. Successful implementation would require that tokenized products deliver the same level of reliability and volume as traditional securities across various asset classes.

In conclusion, the insights from Broadridge's 2025 Tokenization Survey shed light on the dynamic changes in the financial services sector. With custodians leading the adoption journey and asset managers gaining momentum, the future of tokenization appears bright, promising increased efficiency, enhanced accessibility for investors, and a new paradigm in capital markets. To explore further, interested parties can access the full report through Broadridge’s official channels.