1. The Institutional Shift to RFQ

The tokenized stock market is not undergoing a total abandonment of Decentralized Exchange (DEX) pools, but rather a structural bifurcation. While institutional volume is rapidly migrating toward Request-for-Quote (RFQ) and intent-based models for superior execution and compliance, DEX pools remain the primary venue for retail access and DeFi composability.

As of mid-2026, the market is split between "issuer-sponsored" tokens (favoring RFQ) and "synthetic wrappers" (favoring DEXs).

1. The Institutional Shift to RFQ

Institutional players such as BlackRock, Goldman Sachs, and JPMorgan are increasingly bypassing Automated Market Maker (AMM) DEX pools in favor of RFQ systems like Ondo Global Markets.

• Execution Quality: RFQ systems provide firm, zero-slippage quotes for large trades. In contrast, swapping $1M of a tokenized stock like NVDAx on a DEX can result in slippage as high as 80% [Source: https://rwa.xyz].
• Pricing Efficiency: RFQ models outperform AMM prices in 52% of trades for highly liquid assets by sourcing liquidity directly from traditional markets (NYSE/Nasdaq) rather than static on-chain pools [Source: https://0xresearch.com/2025].
• Compliance Standards: Institutional RFQ platforms utilize ERC-3643 (permissioned tokens) and registered transfer agents to ensure KYC/AML compliance, a requirement for regulated entities that is difficult to enforce in pseudonymous DEX pools [Source: https://tokeny.com/backed-swiss/2025].

2. The Persistence of DEX Pools

DEX pools continue to serve a critical role for retail and the broader DeFi ecosystem, particularly on high-throughput chains like Solana.

• Retail & 24/7 Access: DEXs like Jupiter and Raydium provide permissionless, 24/7 trading for smaller retail tickets that do not require the deep liquidity of institutional RFQ [Source: https://www.coingecko.com].
• DeFi Composability: Tokenized stocks in DEX pools are increasingly used as collateral. For example, Kamino Finance supports xStocks (SPYx, AAPLx) as collateral, a utility not yet fully realized in siloed RFQ environments [Source: https://-backed.swiss].
• Volume Growth: Despite the institutional preference for RFQ, the xStocks (Backed Finance) model—which utilizes both CEX and DEX liquidity—surpassed $25 billion in cumulative volume by March 2026 [Source: https://www.kraken.com].

3. Comparative Market Structure

The following table compares the two dominant infrastructures for tokenized securities:

[Source: https://tokeny.com/backed-swiss/2025] [Source: https://rwa.xyz/coingecko/2026]

4. Market Trajectory (2026–2027)

The trajectory points toward a hybrid infrastructure rather than the extinction of DEX pools:

• Institutional Dominance: As the DTCC begins tokenizing Russell 1000 stocks (scheduled for July 2026), the bulk of equity volume is expected to move through regulated RFQ and intent-based solvers [Source: https://twitter.com/GiovyTodo].
• DEX Evolution: DEX pools are likely to evolve into "permissioned pools" where institutional Liquidity Providers (LPs) can provide liquidity within a compliant framework, bridging the gap between the two models.
• Concentration: Currently, Ondo maintains a dominant market share of approximately $700M (70% of the sector), with monthly transfer volumes reaching $2.87B in March 2026, signaling the rapid scaling of the RFQ-heavy model [Source: https://rwa.xyz/coingecko/2026].

In conclusion, while institutional volume is "abandoning" the traditional AMM model for RFQ to avoid slippage and meet regulatory requirements, DEX pools will remain a vital niche for retail 24/7 trading and DeFi integration. The primary gap remains the lack of longitudinal data on how much retail volume will eventually migrate to "permissioned" DEX layers as they become available.