Running the Financial System at Internet Scale: How Sei Can Transform Traditional Asset Markets

Running the Financial System at Internet Scale: How Sei Can Transform Traditional Asset Markets
By Jack Lipstone Head of DeFi Business Development at Sei Foundation

The blockchain industry stands at a crucial intersection with traditional finance as Real World Assets (RWAs) increasingly migrate and gain adoption onto tokenized networks. With Sei V2 and EVM compatibility setting new technical standards, and the Sei Foundation's aggressive growth plans for 2025, we're entering a defining moment for crypto.

This transformation of "everything can and will be tokenized" represents one of the most significant opportunities in financial history, with Boston Consulting Group projecting the tokenized asset market to reach $16 trillion by 2030.

Understanding Sei: A Quick Overview

Unlike traditional blockchain networks, Sei's architecture represents a fundamental advancement in blockchain technology, specifically designed to meet the demands of institutional-grade asset trading.

Sei has been live on mainnet since August 2023 with EVM compatibility introduced in May 2024. The chain is currently processing transactions with sub-400ms time to finality, the ability to process 12.5k transactions per second, and has facilitated over 1 billion transactions across 500,000 daily active addresses.

While in private devnet, Sei is achieving an unprecedented 5 gigagas per second throughput with Autobahn consensus and a decentralized validator set, enabling it to process over 100,000 complex transactions per second in a 40-node network distributed across four regions—performance levels that match or exceed traditional Web2 financial systems. Sei Labs, the development team behind the Sei blockchain, will continue scaling the EVM through technical upgrades to the Sei blockchain.

The RWA Market Opportunity

The scale of the RWA opportunity becomes clear when examining recent institutional movements. BlackRock's entry into digital assets, marked by their spot Bitcoin ETF (IBIT) surpassing $10 billion in AUM within months of launch, signals growing institutional confidence. Traditional finance giants are rapidly embracing blockchain technology:

  • KKR tokenized their Health Care Strategic Growth Fund II
  • Hamilton Lane digitalized a $2.1 billion flagship equity fund
  • Apollo partnered with Anchorage Digital for tokenization initiatives
  • Venture capital firms such as ParaFi have begun tokenizing funds

RWA Momentum

The U.S. Treasury's Q4 2024 report acknowledges that tokenization can enhance liquidity in Treasury trading by reducing operational and settlement frictions. This official recognition, coupled with the Treasury’s observation that distributed ledger technology and smart contracts provide greater transparency and real-time insight into trading activities, signals growing institutional confidence in blockchain solutions.

This is precisely where Sei's high-performance infrastructure becomes critical. With over $2.3 billion already locked in tokenized treasury products and projections suggesting a $30 trillion global RWA opportunity, the market demands infrastructure that can handle institutional-grade operations. Coming soon with the Giga upgrade, Sei’s 5 gigagas per second throughput and 400ms finality times make it ideally suited for the expanding tokenized treasury market, where rapid settlement and absolute reliability are non-negotiable.

Coming Soon: Part 2

In the next installment, we'll examine practical applications and specific benefits of Sei's high-performance infrastructure for traditional financial markets.

Stay tuned for "How Traditional Markets Could Benefit from Sei's High-Performance Infrastructure."

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