Banks and asset managers are increasingly converging on a two-chain model for tokenized real-world assets, or RWAs, according to RedStone co-founder Marcin Kazmierczak. The thesis is simple: institutions want the security, liquidity, and settlement depth of Ethereum, while also seeking the speed and lower transaction costs associated with Solana. That view comes as tokenized funds, private credit products, and onchain Treasury instruments continue to expand, with major infrastructure providers and financial firms building around both public and permissioned blockchain systems. (blog.redstone.finance)
The argument matters because tokenization is moving beyond pilot programs. Firms including BlackRock, Apollo, Franklin Templeton, and Hamilton Lane already have tokenized products or blockchain-based fund infrastructure in market, while service providers such as Securitize, Zero Hash, and RedStone are building the data, compliance, and settlement layers needed to support broader institutional use. In that context, the idea that banks will run RWAs on two blockchain rails is less a slogan than a practical roadmap for how traditional finance may approach public blockchain adoption in the near term.
Why the two-rail model is gaining traction
The phrase “Banks will run RWAs on two blockchain rails, says RedStone co-founder” reflects a broader market debate over where tokenized assets will ultimately live. Ethereum remains the dominant settlement layer for many institutional-grade tokenized products because of its established smart contract ecosystem, deep liquidity, and broad developer support. Securitize CEO Carlos Domingo said in March 2025 that tokenized securities need to thrive on public, permissionless blockchains such as Ethereum, which he described as an efficient settlement layer for value transfer. (blog.redstone.finance)
At the same time, Solana is gaining attention as a high-performance network that can support more active trading, lower fees, and consumer-scale applications. RedStone said in May 2025 that its Solana launch was designed to make tokenized assets such as BlackRock’s BUIDL and Apollo’s ACRED usable in Solana-based decentralized finance. In that announcement, Kazmierczak said the move was a “foundational step” in making RWAs not just visible but usable in DeFi on Solana. (blog.redstone.finance)
Taken together, those developments support the view that institutions may not choose a single winner. Instead, they may use Ethereum for high-value settlement and composability, while using Solana or similar high-throughput chains for distribution, trading, and broader application access. That is an inference from current market structure, but it is consistent with how infrastructure providers are positioning their products. (blog.redstone.finance)
Banks will run RWAs on two blockchain rails, says RedStone co-founder
Kazmierczak’s position aligns with a growing body of industry evidence. RedStone’s own RWA infrastructure now supports tokenized products tied to major asset managers through its work with Securitize, including BlackRock’s USD Institutional Digital Liquidity Fund and Apollo’s diversified credit fund. That matters because oracles are a core part of the tokenization stack: without reliable price feeds and reference data, tokenized assets cannot be used effectively in lending, collateral, trading, or treasury management.
According to RedStone, its Solana deployment opens access to nearly $4 billion in liquidity tied to tokenized assets and related infrastructure. While that figure comes from the company, it illustrates the scale of capital now being targeted by blockchain-native and institutional platforms alike. The broader market is also expanding. CoinDesk reported in April 2025, citing rwa.xyz data, that the total value of tokenized RWAs on public blockchains had reached $20.6 billion, up from $15.2 billion at the end of 2024. (blog.redstone.finance)
For banks, the appeal of a two-rail structure is operational flexibility. One rail can prioritize regulatory comfort, security, and interoperability with existing institutional systems. The other can prioritize speed, lower costs, and access to a wider digital asset ecosystem. That does not eliminate compliance or custody challenges, but it does mirror how financial institutions often diversify infrastructure rather than relying on a single network.
What this means for banks, asset managers, and investors
For banks, tokenized RWAs offer the prospect of faster settlement, programmable ownership, and round-the-clock transferability. These features can improve collateral mobility and reduce friction in cross-border or after-hours transactions. SWIFT’s blockchain-related work and participation from major banks in new settlement trials show that traditional financial institutions are actively testing how distributed ledger systems can complement existing rails rather than replace them overnight.
For asset managers, the opportunity is product expansion. Tokenized money market funds, private credit vehicles, and Treasury products can reach new investor segments and integrate with digital wallets, exchanges, and DeFi protocols. Zero Hash said it processed about $2 billion in flows to tokenized funds and handled roughly 35% of the net inflow into the tokenized RWA market referenced in its April 2025 announcement. That suggests institutional demand is no longer confined to experimentation.
For investors, the benefits are mixed. On one hand, tokenization can improve access, transparency, and settlement efficiency. On the other, many products remain limited to qualified or institutional investors, and the legal rights attached to tokenized claims still depend on the underlying issuer structure and jurisdiction. The technology can streamline distribution, but it does not remove the need for securities law compliance, custody safeguards, and clear redemption mechanisms.
Key drivers behind the shift
Several factors are pushing institutions toward multi-chain RWA strategies:
- Settlement efficiency: Public blockchains can enable near-instant settlement compared with legacy systems.
- Product composability: Tokenized funds can potentially interact with lending, collateral, and treasury applications. (blog.redstone.finance)
- Infrastructure maturity: Oracle, custody, and compliance providers are building more institutional-grade tooling. (blog.redstone.finance)
- Network specialization: Ethereum and Solana increasingly serve different but complementary roles in the market. (blog.redstone.finance)
Risks and competing views
The bullish case for tokenization is strong, but the market is not without skeptics. Some critics argue that fragmented liquidity across multiple chains could reduce efficiency rather than improve it. Others question whether public blockchains are the right venue for regulated securities, especially when permissioned systems may offer more direct control over compliance and participant access. Ondo’s institution-focused blockchain strategy, for example, reflects continued interest in more controlled environments for tokenized finance.
There is also the issue of interoperability. If banks use two blockchain rails, they will need reliable bridges, messaging systems, and data standards to move assets and information safely between them. That creates new dependencies on middleware providers and raises operational and cybersecurity questions. In practice, the success of a two-rail model may depend less on the chains themselves and more on the quality of the infrastructure connecting them.
Even so, the direction of travel is becoming clearer. Rather than betting on a single blockchain to host all institutional assets, the market appears to be moving toward specialization. In that environment, the statement that banks will run RWAs on two blockchain rails captures a pragmatic middle ground between maximal decentralization and tightly controlled financial infrastructure. (blog.redstone.finance)
Conclusion
The idea that banks will run RWAs on two blockchain rails is gaining credibility as tokenized finance matures. Ethereum continues to anchor many institutional tokenization efforts, while Solana is emerging as a complementary network for faster, lower-cost applications. RedStone’s expanding role in oracle infrastructure, together with Securitize’s tokenized product pipeline and growing fund flows across the sector, shows that the market is building toward a multi-chain future rather than a one-chain monopoly. (blog.redstone.finance)
For US readers and market participants, the takeaway is straightforward: tokenization is becoming a real infrastructure story, not just a crypto narrative. The next phase will likely be defined by how effectively banks, asset managers, and technology providers connect compliant financial products to scalable blockchain networks. If that happens, the two-rail model described by RedStone’s co-founder may become one of the defining structures of institutional digital finance.
Frequently Asked Questions
What are RWAs in crypto and banking?
RWAs, or real-world assets, are traditional financial or physical assets represented on blockchain networks. They can include money market funds, Treasuries, private credit, bonds, stocks, or other regulated instruments.
Why would banks use two blockchain rails instead of one?
A two-rail model lets institutions use different networks for different purposes, such as secure settlement on one chain and faster, lower-cost transactions on another. This can improve flexibility and reduce dependence on a single infrastructure provider. (blog.redstone.finance)
Which blockchains are most discussed for tokenized RWAs?
Based on current institutional activity cited here, Ethereum and Solana are among the most discussed public blockchain networks for tokenized RWAs. Permissioned or institution-specific chains are also part of the conversation.
What role does RedStone play in the RWA market?
RedStone provides oracle infrastructure, including price feeds and data services that help tokenized assets function in blockchain applications. Its work with Securitize supports products such as BlackRock’s BUIDL and Apollo’s ACRED.
Is the tokenized RWA market already large?
Yes. CoinDesk reported in April 2025, citing rwa.xyz data, that tokenized RWAs on public blockchains had reached $20.6 billion, up from $15.2 billion at the end of 2024.
What is the biggest challenge for banks adopting tokenized RWAs?
Key challenges include regulation, custody, interoperability, and ensuring that tokenized claims map clearly to legal ownership and redemption rights. The technology is advancing quickly, but institutional adoption still depends on robust compliance and operational controls.
