The RWA field is heating up: giants have laid out, and the industry is optimistic about the future of tokenization

Recently, with the rise in the popularity of the crypto market, the field of RWA (real world assets) has frequently ushered in new developments. A number of well-known institutions have launched asset tokenization platforms, and optimism about the future of tokenization is increasing within the industry.

Industry giants are actively deploying tokenization platforms

The core idea of RWA tokenization is to mint financial assets and other tangible assets onto the blockchain ledger to improve investor accessibility, increase liquidity for these assets, and create more trading opportunities, while saving transaction costs and improving security.

According to the statistics of the data platform, as of November 18, the top 5 issuers (excluding stablecoins) in the total value of the RWA track were a large asset management company (US$542 million), a crypto payment company (US$506 million), a stablecoin issuer (US$501 million), a DeFi protocol (US$452 million) and an asset management company (US$410 million).

! The RWA track is heating up in an all-round way: Tether and Visa are vying for layout, BlackRock CEO and a16z are optimistic about the future of tokenization in unison

On November 14, a well-known stablecoin issuer announced the launch of an asset tokenization platform that simplifies the process of converting various assets into digital tokens. The platform allows users to easily tokenize stocks, bonds, commodities, funds, and reward points, opening up new opportunities for individuals, businesses, and even cyber nations to raise funds using tokenized collateral alike.

At the same time, giants in the traditional financial sector are not far behind. A payments giant launched a tokenized asset platform on October 3 with the aim of simplifying the issuance and management of tokenized assets, including tokenized deposits, stablecoins, and central bank digital currencies (CBDCs).

Some projects are also starting to focus on the potential of the retail market. On October 8, an EU tokenization protocol opened its tokenized US Treasury product to retail traders, making the company's RWA token the only regulated crypto instrument in Europe that is not subject to a $100,000 minimum investment limit.

The tokenization of specific asset types is also attracting the attention of professional investors. At the end of October, a tokenized fund platform backed by an oil and gas concession was launched in public beta on a public chain. The platform is a compliant tokenization platform for investment funds that are backed by royalties.

Regulation is becoming clearer, and the asset management revolution is imminent

In an Oct. 29 paper, global consulting firm BCG called RWA tokenization "the third revolution in asset management." They expect tokenized funds to have more than $600 billion in assets under management by 2030. A fintech company's report is more aggressive, predicting that the size of the RWA tokenization industry could exceed $30 trillion by 2030, an expected increase of more than 50 times.

Against the backdrop of the continued rise in the crypto market, the increased regulatory clarity has injected new confidence into the industry. In a recent post on its website, a well-known venture capital firm pointed out that there is now a way to engage constructively with regulators and legislation that can bring regulatory clarity, and founders should be more confident in their projects' use of tokens as a legal and compliant tool.

According to the head of operations of a trading platform, large financial institutions will be the main driver of significant growth in the tokenization industry. Institutions are already driving significant growth in the crypto industry, and this impact is likely to extend further into the tokenization space.

The CEO of the world's largest asset management company recently said that "tokenization of financial assets will be the next step in future development". He pointed out that in the future, each stock and bond will have a unique identification code, all transactions will be recorded on a unified ledger, and investors will also have exclusive identification. Tokenization is not only effective in preventing illegal activities, but more importantly, it can achieve instant liquidation, significantly reducing the settlement cost of stocks and bonds.

! The RWA track is heating up in an all-round way: Tether and Visa are vying for layout, BlackRock CEO and a16z are optimistic about the future of tokenization in unison

According to a paper by a global investment management firm, bonds are expected to lead the mass adoption of tokenized real-world assets due to their structural characteristics. The bond market is ripe for tokenization; The complexity of these tools, the repetitive nature of issuance costs, and the high level of competition among intermediaries both support rapid adoption and provide room for significant impact.