As we enter 2025, asset tokenization is proving to be a transformative force across multiple industries. Blockchain technology is not only changing how businesses operate but reshaping entire industries by introducing new ownership models, enhancing operational efficiency, and unlocking previously untapped market opportunities. 

This blog post examines the industries positioned to benefit most from tokenization in the current landscape, as tokenization transforms how assets are owned, traded, and managed.

Real estate: transforming property investment 

Real estate is set to lead in adoption of tokenized assets, with the sector already experiencing the first wave of growth. Just look at Polymesh: multiple tokenized real estate platforms announced integrations with Polymesh in 2024, including REtokens and Titl. 

The traditional real estate market’s pain points – illiquidity, high entry barriers, and complex transactions – are being systematically addressed through tokenization. Properties can be divided into digital tokens, enabling fractional ownership and dramatically lowering investment minimums. This democratization of real estate investment is particularly powerful in commercial real estate  and luxury properties, where individual investors have historically been priced out of the market. 

Blockchain technology can automate many aspects of property management, from rent collection to dividend distribution, significantly reducing administrative overhead. Additionally, secondary markets for tokenized real estate assets can facilitate 24/7 trading capability among a global investor base, introducing unprecedented liquidity to this traditionally illiquid market. 

Learn more about real estate tokenization on Polymesh.

Financial services: streamlining operations

In 2025, financial services may also see a fundamental shift through tokenization. Traditional financial instruments such as bonds, stocks, and commodities can be represented onchain, creating more efficient markets with reduced settlement times and lower transaction costs. Banks and investment firms can leverage tokenization to streamline operations and offer new financial products to their clients.

Asset tokenization platforms can streamline the underwriting process, improving efficiency while reducing cost for new issuances. For transactions, tokenization can enable instant settlement, eliminating the traditional T+2 settlement period and associated counterparty risk. Automated dividend payments and corporate actions – possible with smart contracts, or mere native functionality on Polymesh – bring even more enhancements.

We expect private equity and private debt in particular to accelerate due to growing investor demand for increased liquidity and fractional ownership in private markets. Traditionally, private markets have high barriers to entry, lengthy lockup periods and limited secondary trading – challenges that tokenization can address through automated compliance, programmable trading restrictions, and increased transparency. 

Learn about tokenization of equity and tokenization of debt.

Healthcare

The healthcare industry is already looking to utilize blockchain to improve data management and asset ownership of medical records, research data, and intellectual property. Blockchain technology also facilitates the funding of medical research and development through the tokenization of pharmaceutical patents and research outcomes.

From patented pharmaceuticals to medical research funding, the medical and healthcare industry has much to gain in the way of investment.

Medical research can be funded through tokenized investment pools, creating faster funding cycles while reducing reliance on venture capital firms, pharmaceutical companies, and accredited investors. With smaller investors able to participate, total funding can both increase and democratize, enabling researchers to tackle issues that may not align with grant priorities, VC interests, or mainstream trends. 

Intellectual property rights management for pharmaceutical research can also improve with tokenization. It becomes possible to automate distribution of royalties and revenue to all contributing parties, for example the early research contributors, trial facilitators, and investors backing a new drug should it succeed. Tokenization also enables more granular rights management, where development can be broken into discrete phases with specific IP rights tokenized for each phase. The transparency and provenance tracking of blockchain can also prevent IP disputes, make research verification easier, and streamline development. 

Learn more about intellectual property tokenization.

Entertainment and media: changing content ownership

The entertainment industry is embracing tokenization to create new models for content creation and distribution, as well as royalty management. This transformation is particularly impactful in music, film, and digital art. For example, Polymesh has been used as the underlying infrastructure for the recent NFT drop from the UK’s top-grossing NFT music artist Josh Savage, who employed Polymesh in tokenization of his music via Web3 music platform TokenTraxx.

Non-fungible tokens (NFTs) have opened new revenue streams for artists and created new ways for fans to engage with content. The transparency of blockchain technology ensures fair compensation for creators and provides clear ownership records for digital assets.

Tokenized film and music rights can provide fractional ownership of valuable intellectual property, facilitate automated royalty distribution through smart contracts (or powerful native functionality on Polymesh), and increase fan engagement. 

A blockchain-friendly nation, we expect South Korea to be one of the regions initiating the first wave of tokenized entertainment assets. Through Polymesh’s partnerships and collaboration with Korean industry leaders, such as BDACS and Shinhan-bank backed KDAC, we’ve come to learn the nearly $80 billion K-Culture industry is well-informed of the blockchain. 

Learn more about tokenization of art and collectibles.

Agriculture and commodities

Agricultural markets and commodities can also discover new possibilities through tokenization. We’re talking tokenized commodity trading platforms, fractional ownership of agricultural assets, smart contract-enabled crop insurance, and automated supply chain verification. 

Agriculture has already adopted tokenization to improve trading and ownership structures. For example, this February 2025 saw Malaysia’s DatoDurian announce the completion of its private sale, with a public round to be minted in the coming weeks – the first live agricultural project for the nation. 

Farmers can tokenize crops before harvest, creating new financing opportunities and risk management tools, perhaps enabling better price discovery while providing farmers with more flexible access to capital. In the case of DatoDurian, tokenization offers fractional ownership of premium durian farms, enabling retail investors to participate in the high-yield market that has long been the cornerstone of the country’s wealth with ROI up to 50% annually.

Fractional investment can also benefit other natural resources projects such as mining operations, timber lands, and water rights. This democratization of access to natural resources investments creates new opportunities for portfolio diversification with a stable yield while providing project operators with alternative funding sources and a global capital pool.

Learn more about commodities tokenization. 

Clean energy and sustainability

The renewable energy sector could also make breakthroughs with tokenization. Tokenized carbon credits, fractional ownership of renewable energy projects, community-owned solar and wind farms, and automated clean energy certificate trading are only some of the possibilities. 

Tokenization could solve critical issues for the carbon credits market by bringing efficiency to trading, automated verification, and frictionless transfers. Leveraging tokenization to fund clean energy projects, solar farms, wind energy installations, and other sustainable infrastructure could also prove crucial in scaling sustainable investment and achieving climate goals. 

As with other industries, tokenization can bring fractional investment and unprecedented liquidity to green investments and energy assets, as well as resolve operational inefficiencies that prevent these markets from scaling or attracting new investors. The transparency and traceability inherent in tokenized assets can also help verify environmental claims and impact metrics, addressing concerns about greenwashing and providing more reliable ESG reporting.

As the world moves towards embracing greater sustainability and consumer-demand for greener investments grows, these types of assets will be increasingly important for financial institutions to start offering as tokenized investment products.

Learn about tokenization of carbon credits, green bonds and other financial products.

Looking ahead: implementation considerations

From real estate to renewable energy, organizations are moving to leverage digital assets to improve efficiency, reduce costs, boost transparency, and create value. The key to success lies in understanding the industry-specific applications and implementing solutions that address real business challenges. 

For businesses looking to explore tokenization, the time to act is now. As markets mature and standards become established, early adopters will be best positioned to capture the benefits of this technology. 

As tokenization technology matures, we can expect to see even more innovative applications across industries. The key benefits of increased liquidity, reduced costs, and enhanced transparency will continue to drive adoption. However, success in implementing tokenization solutions requires careful consideration of regulatory requirements, technical infrastructure, and market readiness. 

For business leaders exploring tokenization, the opportunity lies in identifying specific use cases within their industries where the technology can solve existing challenges or create new opportunities. The most successful implementations will be those that focus on clear business objectives rather than technology for technology’s sake. 

Learn how tokenization can transform your industry and open up new opportunities for growth. Explore tokenization solutions on Polymesh.