RWA is a sector we are bullish on for the long term in this cycle, and we have invested a lot of research into it. Today, seeing this RWA report co-authored by Plume and #GAIB is very interesting. #RWAFI is a key link connecting traditional finance (TradFi) and decentralized finance (DeFi), which will be very important in future financial markets!
1️⃣ Core Opportunities:
The market size potential of RWAFI is enormous. Although the current on-chain RWA market is about $17.9 billion, it is still just the tip of the iceberg compared to traditional asset markets. The partial ownership model brought by tokenization lowers the entry threshold, allowing global investors to access high-value assets that were previously hard to reach, such as commercial real estate or infrastructure projects. In addition, the efficiency of blockchain reduces intermediaries, accelerates settlement speeds, and lowers transaction costs.
One of the most attractive aspects is yield generation. It is not just about the digital packaging of assets, but more importantly, making these assets productive within the DeFi ecosystem. For example, using tokenized RWA as collateral to generate yield through liquidity pools, or even constructing derivative markets to create new strategies that surpass traditional yields.
2️⃣ Key Market Trends
Currently, tokenized U.S. Treasury bonds dominate (over 50%), such as the OUSG tokenized Treasury bonds and USDY interest-bearing stablecoins provided by #Ondo Finance catering to this demand. However, I am more focused on some emerging areas:
AI Computing (@gaib_ai): Tokenizing GPU computing power to make it an interest-bearing asset driven by AI demand, combining AI and crypto trends, with huge potential.
Public Chain Infrastructure (@plumenetwork): An L1 public chain built specifically for RWA, focusing on compliance and composability, laying the foundation for the RWA ecosystem.
Real Estate (@PropyInc): Automating real estate transaction processes using smart contracts, with a target market expected to reach $3 trillion by 2030.
3️⃣ Investment Strategies and Prospects
Despite the regulatory uncertainty and macroeconomic challenges (such as rising interest rates) faced by RWAFI, global policy trends are moving towards clearer regulatory directions, creating conditions for institutional capital entry.
We believe the core value of #RWAFI lies in the fusion of TradFi assets and DeFi innovation. Focus on the following investment directions:
Infrastructure Layer: Blockchain platforms like Plume that support the RWAFI ecosystem.
Emerging Asset Classes: Projects like #GAIB that tokenize AI computing resources.
Integrated Platforms: Projects that can effectively integrate RWA yields into DeFi.
RWAFI effectively unleashes the financial utility of real-world assets, and its potential should not be overlooked. We have long focused on projects with strong fundamentals, clear regulations, and true integration with the DeFi ecosystem, and Plume is a project we are very proud of within our RWA investment portfolio, deserving of long-term attention and expectation!