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Why Everyone Is Talking About RWA (Real World Assets) | Crypto Trend Analysis

Fizen.io

Fizen.io

— 1 min read
Why Everyone Is Talking About RWA (Real World Assets) | Crypto Trend Analysis

One narrative we keep hearing lately in the crypto world is RWA (Real World Asset). Recently, Binance Research published a 30-page report named “Real World Assets: The Bridge Between TradFi and DeFi”. 

So how can RWA bring traditional assets to the blockchain? Could RWA be the catalyst to growth defi and crypto in the future? Let’s find down with us in this short summary. 

What is tokenized RWA?

  • Real World Assets (“RWAs”) are assets that exist off-chain but are tokenized and brought on-chain to be used as a source of yield within DeFi. RWAs can represent tangible assets, such as gold or real estate, as well as intangible assets, such as government bonds or carbon credits.

Potential impact RWAs could have on DeFi

  • 🔺 RWAs can offer yields to DeFi which are sustainable, reliable, and backed by traditional asset classes.
  • 🔺 RWAs can render DeFi to become more compatible with external markets, resulting in greater liquidity, capital efficiency, and investment opportunities.
  • 🔺 RWAs allow DeFi the ability to bridge the gap between decentralized financial systems and traditional financial systems.

Fizen vision for RWA

At Fizen, we are building the first Web3 Digital Bank where value can be transferred seamlessly across borders. RWA is an innovative way that could help bridge defi to traditional financial markets. Our team is always looking forward to adopting RWA into Fizen.   

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