The real-world asset (RWA) market continues to grow, reaching a record $12 billion in 2024. This emerging sector is attracting increasing attention from crypto investors, particularly with the rise of tokenized Treasuries and private credit.
Tokenized Treasuries Boost Crypto Market RWA
In 2024, tokenized Treasury bonds experienced exponential growth. In concrete terms, they have gone from from $769 million at the beginning of the year to $2.2 billion in September.
The surge is mainly due to high interest rates in the United States, which have reached their highest level in 23 years. According to Binance Researchthis situation is prompting many crypto investors to turn to tokenized assets to diversify their portfolios. Companies like BlackRock have also established themselves in this marketwith their BUIDL product exceeding $500 million.
Tokenized private credit and commodities on the rise
The tokenized private credit crypto market has also seen strong growth. It is recording 56% growth over one yearreaching $9 billion. The IMF estimates that global private credit stands at $2.1 trillion. This suggests even greater potential for development for this crypto sector.
Tokenized commodities, including digital gold, dominate the category with Paxos Gold and Tether Gold. They represent 98% of the market $970 million in tokenized gold products. This demonstrates a strong appetite among crypto investors for stable assets in an uncertain economic environment.
The RWA market continues to grow at a steady pace, but it does present risks (particularly in terms of centralization and reliance on intermediaries). However, this new class of tokenized assets seems set to establish itself in the crypto landscape.
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