The Development Prospects of the RWA Track and Aptos's Strategic Advantages

Tokenization of Real-World Assets ( RWA ) is a highly regarded field that has yet to fully unleash its potential in connecting traditional markets with large assets. Data shows that the total market value of RWA assets in the crypto industry is only $24 billion, and although it has grown by 56% in the first half of this year, it is still in its early stages. With more physical assets being tokenized in the future, RWA is expected to enter a new stage of development.

During this critical period, a certain public chain has shown a trend of catching up. In the past 30 days, the total locked value of RWA on this chain has increased by 56.4%, reaching 538 million USD, rising to third place among public chains. With the addition of more lending protocols, the competitive advantage of this public chain in the RWA field may further stand out.

Private credit dominates the current RWA market

Private credit accounts for 58% of RWA assets, becoming the most关注的 asset class, followed by U.S. Treasury bonds. Private credit assets primarily exist in on-chain form, mostly lacking trading liquidity; while U.S. Treasury bonds face competitive pressure from interest-bearing stablecoins.

Private credit refers to loans provided by non-bank institutions or investors to businesses or individuals in the private market. Although traditional private credit can yield significant returns, it also faces issues such as high costs, low efficiency, and high barriers to entry. Crypto protocols act as intermediaries, issuing and managing assets on-chain, thereby reducing costs and increasing transparency.

Private Credit Asset Tokenization Process

( 1. Off-chain credit asset generation

The asset issuer is responsible for generating off-chain credit assets, including signing loan agreements, setting collateral assets, formulating repayment plans and default terms, and reviewing the borrower's financial status.

) 2. Build On-chain Token Structure

Mapping single or multiple loans to on-chain tokens through the RWA protocol can be done in the form of NFTs, SFTs, or ERC-20 tokens. The token metadata includes information such as the borrower's anonymous identification, principal amount, interest rate, repayment frequency, and maturity date.

3. Compliance Packaging

Establish a special purpose entity or virtual asset service provider as a legal custodian to ensure compliance with regulatory requirements. Investors must complete KYC/KYB and AML reviews, subject to relevant regulations.

4. Token Issuance and Financing

Display tokens through the protocol platform and accept on-chain investments. After completing KYC verification, investors can use cryptocurrency to invest and receive RWA tokens as proof.

5. Profit Distribution and Asset Liquidation

The borrower repays according to the plan, and the funds are distributed to token holders through a smart contract. Upon loan maturity, the principal is automatically returned or arrangements are made for asset continuation.

Competitive Advantages of a Public Blockchain in the RWA Sector

Technical Advantages

The public chain uses advanced blockchain technology, featuring high throughput, low latency, and low transaction costs, making it very suitable for RWA scenarios. Its modular architecture also provides good support for complex asset management.

ecological layout

The public chain has significantly enhanced its competitiveness by collaborating with traditional financial giants and expanding the DeFi ecosystem. Several well-known financial institutions have launched RWA-related products on this chain.

Regulatory friendliness

This public chain collaborates with compliant platforms, incorporating on-chain identity verification and asset tracking functions, in accordance with regulatory requirements. Against the backdrop of a gradually clarifying global regulatory environment, its low fees and fast confirmation characteristics make it an ideal choice for a compliant public chain.

Emerging Market Positioning

The RWA strategy of this public chain focuses on emerging markets, particularly in areas with insufficient financial inclusiveness. By tokenizing private credit products, it provides diversified financing solutions for emerging markets and specific regions.

Summary

As private credit grows as an RWA growth engine, the advantages of this public blockchain in technology and ecology showcase strong growth potential in this sector. In the future, with the optimization of the regulatory environment and the expansion of the DeFi ecosystem, this public blockchain is expected to further consolidate its leading position in the RWA field.