Crypto Supercycle Begins: Tokenization Will Reshape the Global Financial System

Tokenization is moving from concept to large-scale implementation. Senior executives from several leading institutions have recently spoken out, arguing that the crypto industry has entered a supercycle, and tokenization will gradually take over the entire financial system. This article summarizes the core viewpoints and key developments.

Tokenization Supercycle: From Fringe to Mainstream

A prominent brokerage CEO publicly stated: "Tokenize crypto, we are at the beginning of a supercycle that will take over the entire financial system." The platform launched its own blockchain two months ago and listed PLTR tokenized stock as native assets, providing users with exposure to US equities. Initially launching 90 stock tokens, it has now expanded to 190, supporting 24/7 trading, allowing free on-chain transfer like Bitcoin and other crypto assets, and covering users in more than 120 countries.

This model is seen as a roadmap for the future financial system. Tokenization has sparked two views in the US stock market: one group of enthusiasts eager to access new technology, and another that believes existing brokers already offer fractional shares and near round-the-clock trading, making tokenization of limited significance. In response, the CEO proposed three infrastructure-level improvements aimed at enabling more Americans to become investors and owners.

Leading Exchange View: Technology Replacement and Institutional Adoption

The CEO of a major exchange also believes the crypto supercycle is coming. He pointed out that crypto technology is clearly superior to the traditional financial system and is replacing outdated systems. In the future, users will not even realize they are using crypto technology; it will simply be a faster, cheaper, and more efficient way of delivering financial services. The traditional financial system is based on mainframe architecture from the 1970s, resulting in weekend transfer delays and high wire transfer fees. AI is improving the efficiency of banks and other institutions, but traditional institutions lack the incentive to change because inefficiency means high fees, and only competition from new entrants can drive change.

Institutional Infrastructure Accelerates Maturity

A Securitize executive (former Nasdaq executive) predicts that the next 12 to 18 months will see a massive influx of tokenized asset issuers. Distribution and liquidity infrastructure continues to mature, the New York Stock Exchange is building a tokenized securities trading venue, and other institutions will follow suit. She believes 2027 will be a pivotal year for the tokenization industry.

Market Capital Inflows and Regulatory Breakthroughs

A Bloomberg ETF analyst noted that capital is flowing back into the crypto market and is reflected in prices. Bitcoin, Ethereum, Solana, and XRP have all seen inflows, and 13F filings show investment advisors are buying these assets. The Ethereum staking exit queue has dropped to zero, indicating long-term bullishness among holders.

On the regulatory front, the Chairman of the U.S. Commodity Futures Trading Commission (CFTC) publicly expressed confidence that the Clarity Act will pass the Senate vote by September 15, providing clear rules for the crypto asset market structure. The bill has already passed the House with bipartisan support, the Senate version is similar, and the CFTC is ready to implement it.

On-chain Data and Market Sentiment

Small holders with less than 1 Bitcoin continue to accumulate, a behavior that historically tends to occur at cycle bottoms. Bitcoin is currently down about 35% from its peak but has rebounded nearly 40% from its bottom. Historical data shows that buying when the price is 30% below the previous high yields a median return of 116% within one year and 288% within two years.

MSX Perspective: Long-term Value of Compliant Tokenization

The tokenization trend aligns closely with MSX's compliance positioning. MSX has completed SEC security token offering (STO) filing and is qualified to conduct STOs under Regulation S of the U.S. Securities Act of 1933, strictly adhering to AML/CTF regulations in all jurisdictions. The platform has launched an on-chain US stock token market, allowing users to buy and sell US stock tokens directly with stablecoins, and extending to perpetual contracts on US stock tokens.

In terms of asset security, MSX uses cold and hot wallet segregation, with 95% of digital assets stored in multi-signature cold wallets, and commits to a physical on-chain reserve ratio strictly greater than 100% for all listed tokens. Regarding the fee structure, RWA spot buy orders charge 0.3%, sell orders are free, crypto-to-crypto trading has 0 fees, and contract trading enjoys a 10% discount when using $MSX for deduction.

The supercycle is not short-term hype, but a long-term migration driven by underlying infrastructure, institutional adoption, and regulatory frameworks. For users who wish to participate in tokenized assets compliantly, choosing a platform with compliance qualifications and transparent reserves is crucial.