As of July 3, 2025, tokenized real‐world assets (RWAs) reached $12.83 billion total value locked (TVL), up from $7.75 billion at the start of the year—a 65% YTD rise driven by real estate, bonds and climate‐linked tokens and led by protocols such as BlackRock’s BUIDL (~$2.83 billion across six blockchains), Ethena USDt ($1.46 billion) and Ondo Finance ($1.39 billion). Institutional activity—illustrated by Mitsubishi UFJ’s tokenization of a 30‐story Osaka office under Japan’s security‐token framework—signals integration with traditional finance. Material risks include fragmented regulation, limited secondary‐market liquidity, custody and compliance gaps. Over the next 6–12 months stakeholders should monitor new legal regimes, institutional product launches, infrastructure interoperability and liquidity metrics; firms, investors and policymakers need to align with regulatory clarity, build interoperable custody/standards and prepare for wider mainstream adoption.