The RWA track continues to heat up: from new public chains to competitions worth billions, on-chain asset scale exceeds 19.5 billion USD.

Real World Assets (RWA) are becoming one of the fastest-growing areas in Web3 development. As of March 25, the total value of on-chain RWA has reached $19.53 billion, showing a 19.58% growth over 30 days. Compared to the same period last year, the market size has achieved a 108% annual growth. In terms of blockchain network distribution, Ethereum leads with a total value of $5.01 billion, followed by ZKsync Era and Algorand.

Recently, the RWA track has made significant progress in various aspects, including innovations in public chains, large competitions, mortgage securitization, and real estate tokenization. This article will provide a brief overview of these latest developments.

The new public chain Converge plans to launch in the second quarter, focusing on the integration of TradFi and DeFi.

Converge is a network designed specifically for traditional finance and digital dollar settlements. It aims to provide the first settlement layer dedicated to the integration of TradFi and DeFi, centered around USDe and USDtb, with security provided by ENA.

This blockchain is mainly applied in two scenarios:

1. Permissionless spot and leveraged DeFi trading settlement;
2. Storage and settlement of stablecoins and tokenized assets.

Several well-known protocols have committed to building institutional-grade DeFi products on Converge, including Aave Labs' Horizon, Pendle Institutional, Morpho Labs, Maple Finance and Syrup, as well as EtherealDEX. These projects will provide a diverse range of financial services and products to the Converge ecosystem.

Results of the 1 Billion USD Asset Tokenization Competition Announced

A recent competition for the tokenization of $1 billion in assets, initiated by an organization, has announced its results. The three winners are BUIDL, a collaboration between a major asset management giant and a certain company, Superstate's USTB, and Centrifuge's JTRSY. These projects will receive funding support of $500 million, $300 million, and $200 million respectively.

The competition aims to introduce diversified tokenized assets for a certain liquidity layer, accelerating the application of RWA in the DeFi space. The winning project will become collateral for a certain stablecoin after receiving governance approval.

Singapore Exchange Launches On-Chain Tokenized Index Fund

A licensed cryptocurrency exchange in Singapore has announced the launch of two fully tokenized index funds, open to qualified and institutional investors:

1. AI Stock Index Fund: Tracks tech giants such as Apple, Tesla, Microsoft, and Nvidia;
2. Web3 Index Fund: Covers major crypto assets such as BTC, ETH, SOL.

These funds are driven by smart contracts, supporting USDT and USDC subscriptions and redemptions, with real-time on-chain transparency and 24/7 settlement cycles.

On-chain Mortgage-Backed Securities (MBS) Market Continues to Advance

A certain technology company is innovating the mortgage-backed securities capital market through blockchain technology. Several major financial institutions are adopting its electronic lien registration system to promote the application of on-chain loan markets. This market has achieved loan automation, significantly improving the efficiency for homeowners to obtain Home Equity Line of Credit (HELOC) limits.

Tokenized Private Placement Infrastructure Fund Open to Retail Investors

A certain platform has partnered with an asset management company to launch a tokenized private equity infrastructure fund, with a minimum investment threshold of only $500. This is the first "perpetual" tokenized infrastructure fund in the United States open to non-accredited investors, with investment areas including infrastructure assets such as data centers, energy pipelines, and transportation hubs.

Dubai Launches Real Estate Tokenization Pilot Project

The Dubai Land Department has launched a pilot for the "Real Estate Tokenization Project", becoming the first registration authority in the Middle East to implement blockchain-based real estate property tokenization. The project is expected to exceed a market value of $16 billion by 2033, accounting for 7% of the total real estate transaction volume in Dubai.

Large Asset Management Institutions Increase Investment in RWA Track

A large asset management institution has applied to register the "OnChain" stock category for its tokenized US dollar money market fund. The fund holds cash and US Treasury securities, currently using the Ethereum network, and may expand to other blockchains in the future.

Another asset management giant's BUIDL fund has surpassed $1 billion in assets under management, becoming the first institutional on-chain fund to reach this milestone. BUIDL has expanded to multiple public chains and recently announced a partnership with a certain company to expand its business to Solana.

Overall, the RWA sector is experiencing rapid development, with significant potential demonstrated in public chain construction, tokenized funds, and innovations in the real estate and credit markets. As institutional funds continue to flow in and infrastructure improves, RWA is expected to play a greater role in the crypto market and even in the global financial system.