IMF Warns $65 Billion Tokenization Market Has a Dangerous Catch

Tokenized assets have climbed to $65 billion, but the technology promising to make Wall Street faster and cheaper carries an uncomfortable twist. The same instant settlement, automated trading and interconnected markets that eliminate financial friction could accelerate the next crisis. The International Monetary Fund (IMF) is raising concerns about the financial stability implications of tokenization in Chapter 3 of its October 2026 Global Financial Stability Report, titled “Scaling Tokenization: New Efficiencies, New Vulnerabilities.” The report examines how blockchain-based financial instruments could reshape traditional markets by combining issuance, trading, clearing, settlement and servicing on programmable ledgers.

Source: Bitcoin.com News