Global Settlement Network has announced a pilot program to tokenize water treatment facilities in Jakarta. The initiative is planned to scale across Southeast Asia over 12 months, with the goal of reaching $200 million in tokenized assets.
Initial Pilot and Funding Objectives
The blockchain infrastructure firm's initial pilot focuses on eight government-contracted water treatment sites in Jakarta for tokenization. This project aims to raise up to $35 million for upgrading facilities and expanding the water network in the area, according to a statement released on Wednesday.
Real-world asset tokenization involves minting financial and other tangible assets on the blockchain. This process aims to increase investor accessibility and trading opportunities. The phased rollout, scheduled over the next year, will include testing rupiah-stablecoin settlement rails in controlled corridors before scaling to additional foreign exchange corridors, as announced by GSN and its partner, Globalasia Infrastructure Fund.
Addressing Southeast Asia's Water Infrastructure Gap
A significant water infrastructure financing gap exists across Southeast Asia. Projections indicate that more than $4 trillion in long-term water investment will be required by 2040, a figure that significantly outpaces current spending. This project directly addresses this gap by leveraging blockchain-based financing solutions, according to the firms involved.
Mas Witjaksono, chairman of Indonesia-based Globalasia Infrastructure Fund, highlighted the project's potential for substantial growth. He noted that Indonesia possesses numerous major infrastructure developments and natural assets that are suitable for tokenization.
Market Growth and Adoption Trends
Crypto executives have predicted a significant expansion of the tokenized real-world asset market by 2026. This growth is expected to be driven by increasing adoption in emerging economies that face challenges with capital formation and attracting foreign investment. As of Thursday, over $21 billion in real-world assets are estimated to be on-chain, held by more than 629,528 holders.
Southeast Asia is already a region with high levels of crypto adoption. The Chainalysis Crypto Adoption Index, released in September, identified the Asia-Pacific region, which includes Southeast Asia, as the fastest-growing area for on-chain crypto activity. This region has seen a 69% year-over-year increase in the value of cryptocurrency received.
The Chainalysis report specifically flagged Indonesia as the second-largest market for on-chain value in the 12 months leading up to June 2025, experiencing a notable 103% increase. Analysts suggest that the region's established crypto infrastructure and existing user base position it favorably for the implementation of real-world asset tokenization initiatives.