Tapiero Discusses Crypto Adoption Surge and Future of Real-World Asset TokenizationOctober 20, 2023
In a recent discussion with Coin Bureau host Guy Turner, veteran macro investor Dan Tapiero emphasized the quick-paced adoption of digital assets and its potential for continued expansion. He noted that the crypto industry has experienced substantial growth, particularly over the past four years
Tapiero is the Managing Partner and CEO at 10T Holdings, which is a growth equity fund focused on investing in mid-to-late-stage digital asset ecosystem (DAE) companies. Portfolio companies include Ledger, Nova Labs (which develops the Helium blockchain), and Animoca Brands.
Tapiero recalled that when he initially conceptualized his crypto fund in mid-2019, the entire cryptocurrency market was valued at $300 billion. This internal metric encompasses both cryptocurrency and equity values within the crypto space. Fast forward to 18 months ago, this value skyrocketed to $3.2 trillion and currently sits at $1.7 trillion. He stressed that even though the market has receded from its peak, it has still grown fivefold over the last four years, equating to an approximate annual growth rate of 100%.
The expert further discussed the enormous potential that exists in the crypto realm, specifically in the tokenization of real-world assets (RWAs) on blockchains. Tapiero mentioned that the trend of asset tokenization has gained considerable attention over the past six months. During this time, the value of tokenized assets has surged from $100 million to $800 million. While this is a significant increase, Tapiero pointed out that it barely scratches the surface given that hundreds of trillions of dollars worth of assets exist globally.
Another emerging market segment that Tapiero highlighted was stablecoins. He explained that just three years ago, the stablecoin market was virtually nonexistent. However, in 2022, stablecoins recorded an astonishing $8 trillion in settlements. This is a dramatic growth metric by any standard, especially when compared to traditional financial instruments.
Tapiero concluded by stating that the crypto industry is currently evolving more rapidly than at any other point since his involvement. He cited an influx of innovative ideas, new products, and a variety of use cases, particularly in the realm of decentralized finance (DeFi), as evidence of this accelerated growth.
According to a report by The Daily Hodl published in April, Tapiero named his crypto investment fund “10T” based on his prediction in 2019 that the total market cap for cryptocurrencies would increase 30 times and reach a $10 trillion valuation.
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