#RWA : Midas & Ondo Finance
◾ Yesterday I mentioned that Ondo Finance is an RWA project focused on providing stable returns to on-chain users by tokenizing traditional assets (like U.S. Treasury bonds). Today, let's take a look at another representative project in the RWA space — Midas.
◾Midas is an RWA project focused on a decentralized investment experience. Its goal is to bring high-quality traditional financial assets (like U.S. Treasury bonds, mBasis, etc.) on-chain through tokenization while ensuring compliance and asset safety.
◾Core Features of Midas:
While Midas achieves asset tokenization, it prioritizes safety and compliance to ensure that both retail and institutional investors can participate without barriers.
Institutional-grade Assets: Providing investment-grade assets like U.S. Treasury bonds and crypto-basis, with stable returns and controllable risks.
Bankruptcy Isolation: Complete isolation of assets and operational risks through independent custody and auditing (Ankura Trust), ensuring asset safety.
Automatic Compound Interest: Investment returns will automatically reflect in token prices, reducing user management costs.
Decentralization and Compliance: Midas tokens are based on the ERC-20 standard, supporting immediate issuance and redemption, fully compliant with European securities regulations, lowering the high barriers of traditional RWA (such as a $100,000 investment threshold).
◾ So what is the core difference between Midas and Ondo Finance? First, both focus on RWA, but their positioning and core strategies are different.
◾Midas and Ondo Finance represent two directions in the RWA space:
Midas leans towards security compliance + institutional-grade assets, providing high-quality on-chain investment products for retail and institutional investors looking to hedge.
Ondo Finance focuses on on-chain flexibility + inclusiveness, allowing more users who have not engaged with traditional finance to easily enjoy on-chain savings services.
◾One could say that Midas is more like a continuation of traditional finance, while Ondo Finance is closer to the essence of DeFi.