GSR notes liquidity imbalance as RWA supply outpaces investor demand in tokenization

Alex Taaffe, chief revenue officer at crypto trading firm GSR, said that while liquidity is improving for pre-IPO stocks, commodities, and global equities, the demand for fully tokenized Real-World Assets (RWAs) has not kept pace with the growing supply. This supply-demand imbalance is compounded by the fragmentation of liquidity across various tokenized markets due to numerous asset issuers and blockchains. Separately, Mike Silagadze, founder and CEO of ether.fi, noted that wider stablecoin adoption depends on consumer usability for everyday expenses, as consumers may hold USDC but still require local currency for daily payments, according to Yvonne Chia of USDD.