Jeffries stated he expects a brand new wave of cryptocurrency and blockchain-related listings as institutional adoption of digital asset infrastructure accelerates on Wall Avenue and throughout the funds trade.
In a report launched after the inaugural Digital Asset Investor Convention in New York, Jefferies stated it expects a surge in crypto-related listings over the following two years and believes the sector might develop right into a $1 trillion public market inside 5 years.
The convention, which introduced collectively executives from 35 digital asset corporations and about 150 institutional buyers, targeted much less on Bitcoin value hypothesis and extra on how blockchain programs have gotten built-in into conventional finance.
Jeffries stated conversations with shoppers present buyers have gotten more and more assured that blockchain expertise is transferring past experimentation and into core monetary infrastructure.
“Buyer engagement continues to develop as banks, exchanges, asset managers, fintechs, and funds corporations combine blockchain infrastructure and shift focus to new beneficiaries,” the report stated.
The crypto IPO market has slowed this yr after a booming 2025, when a number of digital asset corporations efficiently went public amid rising Bitcoin costs and renewed investor urge for food for crypto-related shares. Whereas the current decline in listings largely displays broader market volatility and macroeconomic uncertainty, a wave of latest listings is anticipated later this yr, with a number of crypto corporations finalizing IPO plans, together with Securitize and Kraken mum or dad Payward.
Jeffries additionally pointed to tokenization, the method of representing monetary belongings on blockchain networks, as one of many largest drivers behind that change. Convention executives stated tokenized cash market funds, non-public credit score merchandise and blockchain-based fee programs have already begun operations following current regulatory steering that reduces authorized uncertainty round digital belongings.
The pattern of Wall Avenue embracing blockchain expertise and de-focusing on crypto costs has been a recurring theme in current months. Giant monetary establishments resembling JPMorgan, Morgan Stanley, and different conventional fintech corporations are totally dedicated to incorporating the expertise into their enterprise fashions, it doesn’t matter what the value of Bitcoin is.
In reality, tokenization and stablecoins had been a significant theme at this yr’s Consensus Miami, overshadowing all different crypto-related discussions. “We’re transferring right into a world the place primarily the whole financial system is tokenized,” stated Joseph Rubin, CEO and founding father of ConsenSys in Miami.
Jefferies argued that larger regulatory readability might additional speed up adoption, significantly amongst extremely regulated monetary establishments. The financial institution pointed to the proposed CLARITY Act, which might set up a broader market construction framework for digital belongings within the U.S., and stated the invoice could possibly be the “lacking piece” that fosters funding by institutional buyers and pushes blockchain-based finance additional into the mainstream.
“Destruction of expertise”
The report additionally highlighted that conventional monetary corporations are more and more partnering with crypto-native infrastructure suppliers fairly than competing straight with them.
Convention panelists described the rising ecosystem wherein banks, buying and selling platforms, and fee corporations are leveraging blockchain networks to scale back fee occasions, enhance capital effectivity, and launch new monetary merchandise.
Earlier this yr, tokenization agency Securitize partnered with securities change Computershare to assist publicly traded corporations challenge tokenized shares straight inside their current shareholder file system, whereas cryptocurrency platform Blish (BLSH), proprietor of CoinDesk, agreed to amass securities change Equinity for $4.2 billion to energy its blockchain-based funds infrastructure.
Stablecoins and tokenized funds have been repeatedly talked about as key areas for near-term progress, particularly as fee corporations search for methods to scale back the price of cross-border transfers and function across the clock.
The convention was attended by executives from corporations resembling Ripple, Kraken, Galaxy (GLXY), Blish (BLSH), and ConsenSys.
When BlackRock first launched its Bitcoin exchange-traded fund, institutional adoption was the largest driver, and the way that adoption would play out was one of many hottest subjects on the time. Quick ahead to at present, and these subtle buyers seem to view this sector not as a short-term speculative commerce, however as a disruptive expertise that may improve their enterprise fashions over the long run.
Jeffries stated the discussions mirror a broader shift in investor curiosity from meme cash and speculative buying and selling exercise to blockchain programs that generate income from buying and selling, funds, lending and tokenized monetary merchandise.
“Buyers typically overestimate the magnitude of technological disruption within the quick time period and underestimate the magnitude of expertise disruption in the long run,” the report stated.
