Key Takeaways
- • Amy Oldenburg, Morgan Stanley's head of digital asset strategy, said in a TOKEN2049 interview that tokenized real-world assets will reach the $3 trillion–$10 trillion range by 2030, stating "We'll definitely be within that range without question."
- • Morgan Stanley now expects to support tokenized equities through its alternative trading system in Q1 2027, pushing back from the second half of 2026 target it indicated in March.
- • Limited product availability is constraining institutional demand, as customers need suitable tokenized securities to trade before the bank can support them on its venue.
- • Oldenburg identified private shares, structured notes and investment funds as areas where blockchain could reduce administrative paperwork, with tokenized holdings potentially usable as collateral.
- • DTCC's tokenization service, slated to launch at the end of October, follows a December 2025 SEC no-action letter and is one development Morgan Stanley is monitoring closely.
Summary
Morgan Stanley's head of digital asset strategy, Amy Oldenburg, expressed confidence that tokenized real-world assets will reach the $3 trillion–$10 trillion range by 2030, according to comments made in a TOKEN2049 interview. Alongside that forecast, the bank moved its expected timeline for supporting tokenized equity trading on its alternative trading system to Q1 2027, from the second half of 2026 that Oldenburg had indicated in March. She attributed the delay to limited product availability, noting that clients need suitable securities to trade before the bank can offer them on its venue, and that client demand remains constrained partly because those products do not yet exist.
Oldenburg identified private shares, structured notes and investment funds as areas where blockchain could replace parts of administrative processes, reducing paperwork for assets whose ownership and transfers require more involved processing. She also pointed to the potential use of tokenized holdings as collateral once more such assets become available. According to Oldenburg, institutional interest has accelerated alongside a growing number of industry announcements over the past year, with financial institutions increasingly concerned about missing opportunities. The planned equity service is described as an extension of Morgan Stanley's existing equities, derivatives and swaps work, allowing clients to hold investments in both traditional and blockchain-based formats.
Research from Citi, prepared with The ValueExchange and published September 24, points to demand for tokenization in financing and margin operations. The report found that 77% of financial institutions expected to use some form of tokenized collateral during 2026, and estimated that large institutions manage roughly $74 billion in collateral daily across about 65 custody locations. Citi also estimated that around 25% of collateral can remain unremunerated or be posted as buffer, with approximately $346 million in annual lost income for large firms, and identified tokenized money-market funds as a means of combining investment income with faster transfers.
On the U.S. market side, Oldenburg highlighted DTCC's planned tokenization service launch at the end of October. In a July 15 announcement, DTCC said more than 30 firms took part in production transactions using tokenized representations of assets held at the Depository Trust Company, spanning securities lending, collateral pledges, equity transfers and U.S. Treasury repurchase agreements. DTCC said the service would preserve ownership rights, entitlements and investor protections of traditional securities and followed a December 2025 SEC no-action letter.
Morgan Stanley's internal work includes a Digital Asset Lab, where Megan Brewer, who leads market innovation and labs, told Bloomberg that employees can examine blockchain applications without testing on core systems. The bank is also developing proprietary wallet infrastructure for customers holding tokenized assets, according to the TOKEN2049 interview. On the regulatory front, the Office of the Comptroller of the Currency granted preliminary conditional approval on June 18 for Morgan Stanley Digital Trust, a proposed national trust bank in Purchase, New York. Approval conditions require at least $50 million in tier 1 capital, with at least half in eligible liquid assets, and a liquid-asset reserve covering 180 days of operating expenses during the first three years.
Oldenburg identified private shares, structured notes and investment funds as areas where blockchain could replace parts of administrative processes, reducing paperwork for assets whose ownership and transfers require more involved processing. She also pointed to the potential use of tokenized holdings as collateral once more such assets become available. According to Oldenburg, institutional interest has accelerated alongside a growing number of industry announcements over the past year, with financial institutions increasingly concerned about missing opportunities. The planned equity service is described as an extension of Morgan Stanley's existing equities, derivatives and swaps work, allowing clients to hold investments in both traditional and blockchain-based formats.
Research from Citi, prepared with The ValueExchange and published September 24, points to demand for tokenization in financing and margin operations. The report found that 77% of financial institutions expected to use some form of tokenized collateral during 2026, and estimated that large institutions manage roughly $74 billion in collateral daily across about 65 custody locations. Citi also estimated that around 25% of collateral can remain unremunerated or be posted as buffer, with approximately $346 million in annual lost income for large firms, and identified tokenized money-market funds as a means of combining investment income with faster transfers.
On the U.S. market side, Oldenburg highlighted DTCC's planned tokenization service launch at the end of October. In a July 15 announcement, DTCC said more than 30 firms took part in production transactions using tokenized representations of assets held at the Depository Trust Company, spanning securities lending, collateral pledges, equity transfers and U.S. Treasury repurchase agreements. DTCC said the service would preserve ownership rights, entitlements and investor protections of traditional securities and followed a December 2025 SEC no-action letter.
Morgan Stanley's internal work includes a Digital Asset Lab, where Megan Brewer, who leads market innovation and labs, told Bloomberg that employees can examine blockchain applications without testing on core systems. The bank is also developing proprietary wallet infrastructure for customers holding tokenized assets, according to the TOKEN2049 interview. On the regulatory front, the Office of the Comptroller of the Currency granted preliminary conditional approval on June 18 for Morgan Stanley Digital Trust, a proposed national trust bank in Purchase, New York. Approval conditions require at least $50 million in tier 1 capital, with at least half in eligible liquid assets, and a liquid-asset reserve covering 180 days of operating expenses during the first three years.
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