Meme coin has experienced a short-term decline, why should you follow the trend and rise in the RWA track?

With the gradual clarification of the regulatory framework, this sector is expected to become one of the fastest rising markets in the future. Despite the market's volatility, RWA has continued its strong rising momentum. Its TVL has reached a historic high of $17.32 billion, achieving a doubling rise since 2024. However, the market potential in this area remains enormous. Currently, less than 1% of physical assets are tokenized, with private sales accounting for approximately 68% of the market share. This indicates that there is still broad room for rise in RWA tokenization in the future. Here are some key insights worth following. With the increasing interest of institutional investors, the tokenization of the U.S. bond market is showing significant rise, with a total scale reaching $3.6 billion. The rapid rise of tokenized bond products not only reflects institutional investors' recognition of blockchain technology, but also demonstrates the potential for the integration of TradFi assets with Decentralized Finance. Tokenizing RWA as yield-bearing stablecoins has become one of the most popular forms of application. Several well-known protocols are actively promoting the development in this area. It is worth mentioning that many issuance parties are using their own holdings of national debt assets to create stablecoins through tokenization, creating passive income for investors. This model not only introduces a reliable source of income for stablecoins but also further promotes the integration of traditional assets with blockchain technology. In all markets, the scale of commodity opportunities ranks at the forefront, with a total nominal value of up to $53 trillion. However, the current value of tokenized commodities is only about $11.8 billion, accounting for only 0.0022% of the total addressable market (TAM). In this area, Paxos with a tokenized asset scale of approximately $6 billion occupies 50.66% of the market share, becoming the industry leader. With the maturation of technology and the rise of institutional interest, it is expected that the tokenization of commodity markets will experience exponential expansion in the future. For institutional investors, the total scale of the global market portfolio reaches $271 trillion, while the historical high of tokenized assets is only $418 million, led by Securitize. This indicates tremendous potential for future capital inflows. With the gradual clarification of the regulatory framework, this sector is expected to become one of the fastest rising markets in the future, bringing more opportunities for investors and the industry. Although the various sub-industries of Real World Assets (RWA) are still in the early stage of exploration, from the perspective of market potential, this undoubtedly represents a trillion-dollar-level opportunity, and we are just getting started. At present, the market cap scale of tokenization is still very limited, only staying at the level of millions to as low as tens of billions of dollars. This is just the beginning of exponential rise. Therefore, the RWA market is expected to achieve more robust rise, mainly due to strong fundamental support and the increasing importance of on-chain asset issuance models in the financial field. In 2024, the Market Cap rise performance of the RWA industry ranked fourth among all industries, with an increase of up to 77%. I believe that by 2025, RWA is likely to rank among the top three in terms of performance. Looking ahead, as more countries and funds recognize the potential of this market, the value structure of tokenized RWA will undergo significant changes. Meanwhile, with the gradual improvement of the regulatory framework, many regions show higher acceptance of blockchain-based financial infrastructure. The future in this area will be full of exciting opportunities!