The International Monetary Fund (IMF) has released a report indicating that tokenisation of assets could significantly enhance efficiency in financial markets by simplifying processes like settlement and ownership transfer. However, it warns that this rapid adoption may introduce new risks, particularly concerning financial stability and governance. The IMF emphasizes the necessity for regulators to adapt to these advancements, noting that while tokenisation can reduce costs and improve transparency, it also creates vulnerabilities that need careful management. The report highlights that tokenisation involves representing real-world assets, such as securities and real estate, on blockchain networks, which can increase liquidity and reduce reliance on intermediaries. However, the IMF cautions that interconnected financial systems and blockchain infrastructure could exacerbate systemic risks if not properly managed. The report also points to a 66% growth in the tokenised assets sector in 2026, reflecting increasing institutional interest. As this trend continues, the IMF asserts that governments must address emerging challenges to ensure the benefits of tokenisation do not jeopardize economic stability.