Recent research underscores the growing interest in tokenizing private equity and hedge fund assets. A survey of fund managers across several European countries, responsible for managing approximately $546.5 billion in assets, found that 73% see private equity assets as the most likely to undergo significant tokenization. This trend is supported by estimates from the World Economic Forum, which predicts that up to 10% of global GDP could be stored and transacted via distributed ledger technology by 2027.
The financial benefits of private equity tokens are plenty, particularly in terms of liquidity. Tokenization enables these assets to trade on secondary markets, providing a more liquid alternative compared to traditional private equity investments.