Author: @Moomsxxx Compiled by: Vernacular Blockchain

RWA field is growing at an astonishing rate. Just a few days ago, the total value of RWA just hit a new high and today it broke this new record.

Although interoperable with privacy solutions, digital identity solutions, Many challenges related to sex and other related challenges continue to cause operational friction and become bottlenecks for faster adoption, but the $2 billion raised by on-chain funds and about $200 billion of stablecoins show the Web3 industry this growing interest and adoption in the field.

The current Tokenized funds only account for a small amount of expected growth in the fund industry in the next few years. Part.

Similarly, the growth in private credit sector can reflect the growing opportunities of market participants in Bitcoin, DeFi native income, alternative coins and meme coins Increased interest.

According to @Preqin, the investment scale of the global private credit market is close to US$1.7 trillion, while according to @RWA_xyz, the scale of Tokenized private credit is only About $11.9 billion.

Active loan value - Private credit market (Source: RWA.xyz)

Analysis of this field in depth, I think it is necessary to mention that the reliability of these loans has changed dramatically since the market crash in 2022, Teams across platforms have become more cautious and invested more resources to ensure higher quality of the issuance of credit.

From July 2021 to the end of 2022, borrowing agents are mainly dominated by crypto trading and market makers. Therefore, borrowing generation in this field collapsed in the 2022 bear market.

After that, the growth mainly comes from consumptionFee asset-backed securities (such as car loans, credit card debts, student loans, small commercial loans, etc.), real estate transition loans, trade financing, and other real-world borrowing mainly in less volatile asset classes.

Fund pools for various RWA transactions

The proof of this is what a resilience protocol like @maplefinance shows in the liquidation event on February 3, 2025 - this event is cryptographic history The largest liquidation event. For more details, please see the following link: https://x.com/maplefinance/status/1886332880411832514 In addition, in the past three years, the industry has matured considerably, and technical solutions are emerging continuously, aiming to solve regulatory and Privacy obligations, thereby further improving this critical area.

According to data from @BCG, all mutual funds around the world may unlock an additional $100 billion in annual returns for investors. Meanwhile, "mature investors" (sorry, not you) earn $400 billion (in layman's terms, day trading). Judging from the historical adoption model of ETFs, it is reasonable to expect that Tokenized funds will account for 1% of the global mutual funds and ETF asset management scale in the next seven years.

Global ETF Asset Management Scale (Source- J.P. Morgan Asset Management)< /em>

This means that by 2030, Tokenized assets will exceed US$600 billion.

In addition, if the regulator allows existing mutual funds and ETFs to be converted into tokenized funds (which is easier than launching a new tokenized fund), we There may be trillions of dollars in asset management scale.

In view of similar growth expectations before the launch of the BTC ETF, I don't think we can rule out that these numbers may be too conservative and that the actual growth may be high amazing.

However, even based on these expectations, we are still talking about growth of at least 200 times.

Say it again, from now on, it will grow by at least 200 times.

Where are you still sitting there and upset that you haven't made money for the time being?

Give me the benefits, please!

According to this @BCG study, our industry's investment demand for Tokenized funds is approximately US$290 billion. This figure includes the needs of stablecoin holders, tokenized RWA and DeFi protocols.

I think this number may be high because they consider the growth of the market value of the DeFi protocol market, which comes from a user with a higher risk appetite group, and these groups may have different investment tendencies than those willing to invest in Tokenized assets.

A more reasonable approach is to consider the growth of DeFi total value lockout (TVL) over the past two years, and despite this, it will still be a considerable number: 580.6 $100 million (Source - @DefiLlama).

DeFi Total Value Lock (TVL) p>

Anyway, the value propositions of Tokenization Fund and RWA are undeniable. They provide access to real-world investment opportunities, allowing investors to better diversify their portfolios when markets change dynamically.

Imagine if you could exchange your on-chain tokens for stocks, commodities and real estate in the past few months without withdrawing cash , isn't it very convenient?

But why does this have to happen? What are the benefits for traditional finance? I haven't seen much discussion on this topic recently on crypto-tweets (CT), especiallyNow in the craze and disputes of memecoin. We always talk about how traditional finance (tradFi) gets into the Web3 industry and adopts the technology we are building. But why do they do this? While I plan to write an article dedicated to this topic, here are some key points that explain why traditional finance needs and must adopt crypto railroads:

Instant settlement As shown in the figure below, this could add about $50 billion to investors’ portfolios each year.

Another $33 billion in lower commission savings will eventually flow into investors' portfolios.

Compositeability Tokenized funds will be more easily loaned.

Accessible trading tokenization will make it easier for investors to trade assets.

How to improve returns by Tokenization (Source: Boston Consulting Group) em>

traditional finance bids, and encryption Twitter (CT) was cut.

The above chart shows that regardless of the market, especially the sentiment of crypto-twitter (CT) (laughs), traditional financial (tradFi) institutions are celebrating tokens Interest in chemistry, encryption and blockchain is stronger than ever.

This reminds you how incredible the next few years will be.

Think about it: If traditional financial institutions were interested in Tokenization and encryption in the past—even when there were few people adopted, unfriendly regulation, and fewer Innovation – Why shouldn’t they become extremely optimistic now?

In fact, there is only one answer.

You know.

Even if the sentiment of market participants is at historical lows, mostThe discussion focused on @KaitoAI's nonsense, Solana's meme's leek cutting and the drama of KOL, but the charts made another sound loud.

The data will not lie. Since the launch of $TRUMP, RWA's leading protocols have surpassed, or rather, proved that they are more resilient than the overall altcoin market.

If you include more RWA leading protocols into the index and go back to longer periods, the result will be the same.

RWA field is like a huge cake, and so far we have cut only a small piece. However, those who go tokenize early will get a big share, while others can only pick up the remaining debris. Traditional finance knows this, which is why they are accelerating the process.

I will end with a statement from the @DigitalAssets report: "Looking back on the outlook for 2025, it is clear that investors have not missed the opportunity to join the digital asset wave. In fact, we think we may be entering a new era of digital assets, which is expected to span years — even decades. This era may see digital assets penetrate into various industries — industry, technology, sectors, assets and liabilities table, even level. The key issue facing investors now is not whether to participate, but how they will actively participate in this change. ”