RWAfi Newcomer in the Ecosystem: In-depth Analysis of the Blockchain Platform Tailored for Encryption Users

Real World Assets (RWA) are gradually becoming the focal point of the market as an important bridge connecting traditional finance and cryptocurrency. However, the current RWA market still faces many challenges, such as inefficiency and high costs, and the linkage between the traditional financial system and the blockchain ecosystem urgently needs optimization.

To address these issues, a fully integrated and modular Blockchain platform focused on RWAfi has emerged. As the first truly public chain serving crypto-native users, this platform is committed to providing more efficient, transparent, and convenient solutions by redefining finance through the creation of a dynamic, liquid, and composable market for RWA, making it as versatile as native encryption assets.

Rapid development and widespread recognition

After nearly a year of rapid development, this emerging platform has been recognized by the community, institutions, emerging banks, and encryption native protocols (such as lending protocols, perpetual contract DEX, AMM, etc.) as the best solution for RWAfi. Currently, over 180 projects have been built on this platform, with total deployed assets exceeding $1 billion, and several hundred million assets are about to go on-chain. During the two-month testing activity, the platform also achieved significant results: the number of active wallets surpassed 3.75 million, and the on-chain transaction volume exceeded 270 million, fully demonstrating the vibrancy of the ecosystem and the enthusiasm of user participation.

In November, the platform held a pre-deposit event with an initial target of 5 million USD, which was quickly filled in 70 seconds, exceeding expectations. In response to the enormous demand from the community, the platform immediately raised the limit to 30 million USD, and ultimately completed the target in 90 minutes, with oversubscription reaching 6 times the original plan.

The growth potential of this platform has also been recognized by several well-known VCs, having cumulatively completed a $30 million financing so far. In May of this year, the platform announced the completion of a $10 million seed round financing, led by a well-known investment institution, with participation from several renowned venture capital firms. This round of financing has laid a solid foundation for the platform's innovation and expansion in the RWAfi field.

On December 18, the platform announced the completion of a $20 million Series A financing, bringing the total financing amount to $30 million. The investors in this round of financing include several well-known investment institutions and financial technology companies.

A blockchain ecosystem designed for RWA, leveraging the principles of DeFi.

Although there are already numerous Layer 1 solutions in the industry, the competition is becoming increasingly fierce with new projects constantly entering this field. However, due to the customized needs for permission management, compliance, and liquidity of real-world assets in the process of being put on the chain, the platform realizes that it needs to create a blockchain specifically designed for RWA and achieve its goals by embedding more customization and functionality at the network layer.

Unlike traditional RWA models, this platform aims to create a more efficient and accessible ecosystem for crypto users and traditional financial institutions by leveraging DeFi principles, making it the first and only protocol focused on RWAfi. RWAfi is a new model in the blockchain finance sector, meaning tokenized RWAs can be composable and flexible like native crypto assets. Based on the concept of adopting crypto-native ideas, the platform prioritizes composability, liquidity, permissionlessness, and interoperability from the perspective of building what crypto users truly need, and designs products and services around RWAfi.

The platform's modular infrastructure is designed to support the tokenization and management of real-world assets, with its core components being the tokenization engine, smart wallet, and on-chain data highway. Through the collaborative work of these components, the platform provides a smooth and secure environment for managing multiple asset classes, ensuring compliance, and facilitating data integration.

In terms of core functionality, the platform focuses on accelerating the on-chain of real-world assets, liquidity, and regulatory compliance, providing a comprehensive framework that includes liquidity management, built-in anti-money laundering (AML) compliance, and data access features.

The platform utilizes a network of compliant partners to achieve compliance verification of tokenized assets, ensuring that transactions meet relevant regulatory requirements. It simplifies the regulatory compliance process and user registration process by directly integrating compliance into the platform. With integrated compliance features, users can confidently participate in RWAfi transactions, accessing a broader range of opportunities on the network while complying with necessary legal standards.

In terms of key asset liquidity and market efficiency, the platform promotes liquidity development by collaborating with trusted liquidity providers and deploying yield enhancement mechanisms. Its trading features enhance the liquidity options of RWA tokens through staking, yield farming, and integration with DeFi protocols, supporting market activities. This allows users to participate in asset trading by reducing slippage and improving asset stability, while taking advantage of liquidity and yield opportunities in the RWA market.

Focus on real returns, prioritize serving native encryption users

As a unique field at the intersection of Blockchain technology and traditional assets, the immense potential of RWA stems from the traditional financial industry. Perhaps based on this point, most RWA projects are currently led by individuals with a background in traditional finance (TradFi), who are trying to bring traditional financial products onto the Blockchain. However, mainstream users on the Blockchain tend to be more encryption-native rather than traditional financial users, making it difficult for most products to find a market fit.

The platform believes that in order to truly promote the growth of RWAs, it is essential to first focus on the needs of on-chain users. Its RWAfi concept not only aims to bring RWAs on-chain but also to create products tailored for users that align with what they are already doing while integrating traditional and encryption-native worlds. This is because on-chain users are often the most vibrant and innovative when exploring RWAfi application scenarios, and they have a strong demand for real returns, liquidity, and composability. Essentially, the platform meets these needs in a manner similar to DeFi and aligns its products with the market. Users are superficially engaging with decentralized financial products, but behind them are real-world assets that can generate actual returns.

As an open and permissionless chain, this platform provides an easy-to-use, compliant, and efficient asset on-chain tool, allowing anyone to freely build and drive development without restrictions. Among the hundreds of protocols currently attracted by the platform, these assets cover a variety of categories. Currently, the platform's asset categories can be broadly divided into three types: collectibles, alternative assets, and financial instruments. Collectibles include wine, art, watches, sneakers, and Pokémon cards; alternative assets mainly consist of private credit, real estate, or green energy projects; financial instruments are primarily based on stocks or corporate bonds.

However, for the vast majority of encryption users, the category of the assets themselves is not important; their usage and potential returns are the focus. Therefore, based on the premise of benefiting existing on-chain users, this platform also places its work focus on the three main use cases that are most important to encryption users. The first category is yield farming, which revolves around earning returns through methods such as depositing funds and cyclical operations, while achieving operational efficiency and convenience. The second category is trading, including buying, selling, lending, and traditional spot trading activities. The third category is speculation, mainly involving derivatives and other similar high-risk investment operations. This platform focuses on assets and application scenarios related to these agreements, making them more aligned with the actual needs of encryption users.

The platform focuses on generating real returns through income-generating assets and bringing in real users from existing markets to expand the use cases of the encryption ecosystem and RWAs. For example, the platform provides users with the opportunity to earn returns from solar energy assets valued at $100 million by collaborating with RWA projects in the renewable solar energy sector. This project tokenizes the "leveraging of commercial solar construction loans and post-operational assets," which will serve development projects for public school districts. The platform states that "these projects have 100% contracted revenue and predictable costs." According to the statement, both teams believe that the school district's commitment to these development projects reduces the overall risk of the tokenized projects and that the expected yield is between 9% and 18%.

In addition to emphasizing the on-chain user needs, the platform also serves traditional financial institutions and is able to address the major challenges of compliance and liquidity in promoting institutional adoption. This dual-service strategy holds promise for innovation and breakthroughs in the RWAfi field, catering to the different core needs of crypto-native users and traditional financial institutions.

Looking to the future, the platform, which is about to officially launch its mainnet, will technically enhance the scalability and security of its infrastructure based on the existing foundation, and further integrate to improve data privacy; in terms of ecological development and RWA expansion, it will undoubtedly add more asset classes, including tokenized luxury goods, stocks, and new forms of commodities; in addition, by expanding cooperation with financial institutions, the platform will make it easier for institutional investors to access tokenized RWA. This strategic positioning not only facilitates the connection between the encryption world and traditional finance but will also make the platform an important bridge for promoting RWAfi development.