RWA Track Development Accelerates: New Public Chains, Asset Tokenization Competition, and the Rise of the $1 Billion Fund

Recently, the real-world assets (RWA) sector has been rapidly developing. As of March 25, the total on-chain value of RWAs reached $19.53 billion, with a 30-day increase of 19.58%, achieving a 108% annual growth compared to the same period last year. In terms of blockchain network distribution, Ethereum ranks first with a total value of $5.01 billion, followed by ZKsync Era and Algorand with $672 million and $473 million, respectively.

This article will briefly outline several key dynamics in the RWA field, covering public chain innovations, asset tokenization competition, the mortgage securities market, and real estate tokenization.

The Converge public chain is scheduled to launch in the second quarter.

Converge is a settlement layer specifically designed for the integration of traditional finance and DeFi, centered around USDe and USDtb, with security provided by ENA. This public chain is mainly used for permissionless spot and leveraged DeFi trading settlements, as well as the storage and settlement of stablecoins and tokenized assets.

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

Sky hosts a $1 billion asset tokenization competition

The results of the Spark Tokenization Grand Prix initiated by Sky (formerly MakerDAO) have been announced, with the tokenized government bond products from BlackRock-Securitize, Superstate, and Centrifuge emerging as winners. The three winners will receive funding support of $500 million, $300 million, and $200 million, respectively, to develop their products and introduce the Spark liquidity layer.

This initiative aims to diversify Spark's investment portfolio and accelerate the tokenization of RWAs. Once governance approval is obtained, these assets will be included as collateral for Sky's native stablecoin USDS and the yield-bearing stablecoin sUSDS.

DigiFT Launches On-Chain Tokenization Index Fund

Singapore licensed crypto exchange DigiFT has announced the launch of two on-chain tokenized index funds, open to qualified and institutional investors. The two funds are:

1. AI Stock Index Fund (Tracking Multiple Tech Giants)
2. Web3 Index Fund (covering mainstream crypto assets)

These funds are managed by Hash Global, supporting USDT and USDC subscriptions and redemptions, with real-time on-chain transparency and a 24/7 settlement cycle. This initiative aims to provide investors with a more convenient and efficient asset management approach.

Figure promotes the on-chain collateralized loan-backed securities market

Figure Technology Solutions is leveraging blockchain technology to innovate the mortgage-backed securities market. Several major financial institutions are adopting Figure's DART electronic lien registration system to advance its application in the Figure Connect loan market.

The loan market automates loans on the blockchain, improving the efficiency for homeowners to obtain Home Equity Line of Credit (HELOC). Figure has also formed a joint venture with Sixth Street, receiving a $200 million equity commitment to establish a loan tokenization mechanism and liquidity market.

Republic and Hamilton Lane Launch Tokenization Infrastructure Fund

Republic has partnered with Hamilton Lane to launch a tokenized private equity infrastructure fund aimed at retail investors, with a minimum investment threshold of just $500. The fund will invest in infrastructure assets such as data centers, energy pipelines, and transportation hubs, and is expected to offer quarterly sale options to enhance liquidity.

Dubai Launches Real Estate Tokenization Pilot

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

Fidelity Launches Tokenized Money Market Fund "OnChain" Stock Category

Fidelity has applied to register the "OnChain" stock class for its tokenized dollar money market fund, Fidelity Treasury Digital Fund (FYHXX). The fund currently uses the Ethereum network and may expand to other blockchains in the future. This move aims to provide investors with more diversified investment options.

BlackRock BUIDL Fund Surpasses $1 Billion in Scale

BlackRock's BUIDL fund has surpassed $1 billion in assets under management, becoming the first institutional-grade on-chain fund to reach this milestone. BUIDL is backed by short-term government bonds and offers daily returns to qualified investors. The fund has expanded to multiple blockchain networks and provides institutional-level crypto asset management services through Coinbase.

Recently, BlackRock also announced a partnership with Securitize to expand the BUIDL fund to the Solana network, further extending its presence in the cryptocurrency market.

With the continuous influx of institutional funds and the improvement of infrastructure, the RWA sector is expected to further expand its influence in the crypto market and even in the global financial system. Future development trends and dynamics are worth ongoing attention.