Tristero Research Warns RWA Tokenization Could Trigger ‘On-Chain Subprime Crisis’

The tokenized real-world assets market has surged to $26.5 billion following 70% growth in 2025 yet new research warns that rapid expansion could trigger an “ on-chain subprime crisis ” through what analysts call the “ RWA Liquidity Paradox. “ Tristero Research released a comprehensive study warning that tokenization creates dangerous mismatches between slow-moving physical assets and the hyper-fast blockchain ￰0￱ research argues that wrapping illiquid assets such as buildings loans

and commodities in liquid digital shells amplifies systemic risk rather than reducing ￰1￱ Growth and Trillion-Dollar Projections Defies Structural Concerns The warning comes as the sector experiences massive ￰2￱ tokenization has expanded 245 times since 2020 growing from $85 million to the current $26.5 billion market valuation.) August 25 2025 The Liquidity Paradox Warning: 2008 Financial Crisis Might Repeat Itself Tristero Research’s analysis centers on fundamental structural flaws in current tokenization ￰3￱ firm argues that tokenization doesn’t change asset ￰4￱ buildings

private loans and gold bars remain slow and illiquid despite digital wrappers that facilitate instant ￰5￱ research compared this to the 2008 financial crisis when subprime mortgages were transformed into complex securities through Mortgage-Backed Securities and Collateralized Debt Obligations

creating apparent liquidity from illiquid foundations.