The year 2026 marks the transition of AI-enabled operations and digital assets from experimentation into a strategic necessity, and for asset service providers, success will depend on modernizing technology stacks, ensuring interoperability across asset types, and delivering client-centric innovation in an increasingly hybrid financial system.

Today, the global asset servicing landscape looks drastically different from what it was just a few years ago. The industry, encompassing global custody, fund administration, securities lending, and related businesses, is no longer merely experimenting with digital transformation but is being fundamentally reshaped by it, according to interviews with industry experts.

Driven by a convergence of improving regulatory clarity, deepening institutional adoption, and technological maturity, asset servicing has reached a tipping point. However, “regulatory clarity” remains uneven, depending on jurisdiction and asset class.

As financial institutions navigate this new terrain, four distinct trends have emerged. First, the embedding of artificial intelligence ( AI ) into core workflows; second, the rapid tokenization of real-world assets ( RWAs ); third, the evolution of digital custody into critical infrastructure; and fourth, the rise of unified, data-centric platforms.

Frontline role for AI

The most immediate shift in 2026 is the migration of AI from the back office to the frontlines. While early implementations focused on data reconciliation and reporting, AI is now increasingly embedded in front- and middle-office applications. Firms are leveraging these tools for advanced market research, risk profiling, and selective compliance automation.

However, full compliance automation ( the use of software, AI, and rule-based logic to continuously monitor, manage, and enforce regulatory standards across an organization’s IT infrastructure, thereby removing manual, error-prone tasks ) is not yet complete as human oversight remains mandatory in regulated functions.

Perhaps most significant is the emergence of so-called “Agentic AI”, autonomous agents capable of orchestrating multi-step workflows.

These agents are beginning to coordinate functions across areas such as trade processing, client onboarding, and asset servicing under defined rulesets and human supervision, rather than operating fully autonomously.

When paired with Robotic Process Automation ( RPA ) for repetitive tasks, this “hybrid intelligence” model is delivering measurable efficiency gains. Firms with strong data governance and disciplined AI deployment report productivity improvements often cited in the 15-30% range, gaining advantages in speed and cost.

Tokenized assets

Simultaneously, the tokenization of assets has moved from pilot programs to early production deployments.

The market for RWAs, representing traditional securities, real estate, and commodities on blockchain-based infrastructure, continues to accelerate.

As of late 2025, on-chain RWAs are generally estimated in the US$20-35 billion range, with long-term projections suggesting tokenized assets could reach several trillion dollars by 2030, depending on regulatory adoption and market structure.

Major industry players such as BlackRock and State Street increasingly reference tokenization and blockchain-based instruments as strategic elements in shaping future market infrastructure and digital asset services.

The benefits are tangible: fractional ownership, improved capital efficiency, and the potential for near-real-time settlement. However, T+0 settlement remains limited as integration with legacy systems, market conventions, and regulatory requirements continues to constrain full disintermediation and 24/7 operation across asset classes.

Digital asset custody

As digital assets proliferate, custody has evolved into essential financial-market infrastructure, increasingly comparable in importance to payments and clearing.

The global digital asset custody market is experiencing strong growth, with market estimates projecting expansion from approximately US$700 billion in assets under custody in 2025 to over US$830 billion in 2026.

Institutional-grade solutions featuring segregated cold and hot wallets, multi-party computation or multi-signature security, and insurance-backed models have become baseline requirements.

Custodians are modernizing platforms to support tokenized securities and limited forms of digital cash, while CBDC ( central bank digital currency ) integration remains largely at the pilot or proof-of-concept stage in most jurisdictions.

To manage growing complexity, the industry is shifting towards more unified custody and servicing environments.

These platforms aim to support both traditional and digital assets, offering multi-asset reporting, consolidated risk views, and improved data transparency. While full real-time interoperability remains a work in progress, data has become a primary strategic asset, with firms investing heavily in centralized data lakes and advanced analytics.

The implications for service providers are stark. The industry is increasingly polarizing between diversified “full-stack” institutions, which leverage global networks and local market expertise, and specialists, which compete through scale, platform efficiency, and digital-asset partnerships. These categories overlap with some firms pursuing hybrid strategies.

Ultimately, 2026 marks the point at which AI-enabled operations and digital assets transition from experimentation to strategic necessity.