The RWA or real estate tokenization sector has emerged as one of the top performing crypto spaces in 2024. In fact, a recent Tren Finance research report shows that some of the largest financial institutions and business consulting firms expect the RWA sector to reach as much as $30 trillion by 2030!
Among them is Standard Chartered, the very firm that predicted $100K for Bitcoin by the end of 2024 early on in 2023. As Bitcoin stands slightly over $98K on November 25, 2024, we can see that prediction has almost come true! Notably, the global RWA market amounts to $867 trillion, out of which just $187 billion currently exists on-chain. As the sector grows, it is expected to capture more of that market.
Why does RWA have everyone interested? And which are the top 5 RWA tokens slated for exponential growth in the ongoing bull run? Let’s find out!
Why is the RWA sector gaining in popularity?
The real world asset (RWA) sector is gaining popularity primarily because it bridges the divide between traditional, tangible assets and the efficiency of crypto and blockchain technology. By digitizing physical assets like real estate, artwork, commodities, music/video, manuscript, and anything else you can think of, RWA tokenization unlocks benefits such as accessibility and liquidity that were previously difficult to achieve in conventional markets.
Here are some reasons why RWA tokenization has become so popular:
Fractional ownership: Tokenization breaks down high-value assets into smaller, affordable units, which enables a broader investor base. For example, owning real estate in major cities traditionally requires significant capital. Through tokenization and fractional ownership, investors can purchase small parts, diversifying their portfolio at a low cost.
Enhanced liquidity: Markets like real estate are traditionally illiquid, with sales and transfers taking weeks, and even months. Represented as tradable digital tokens, such assets can be bought or sold instantly on blockchain-based platforms, creating a 24/7 market.
Global accessibility: Blockchain removes geographical barriers. This means that a tokenized piece of art in France can attract investors from across the globe, enhancing market efficiency.
Transparency and security: Blockchain and smart contracts ensure that all transactions are carried out without involving intermediaries and ownership records are immutable and transparent, which reduces fraud and disputes.
Cost savings: By automating processes like verification and payments through smart contracts, RWA tokenization cuts down intermediary fees and administrative costs.
Overall, the democratization and efficiency brought forth by RWA tokenization make it a revolutionary approach, driving both its adoption and growth.
Now, let us tell you all about the top 5 RWA tokens pumping right now, and expected to grow significantly before the year ends!
Top 5 RWA tokens to watch 1. Ondo Finance ($ONDO)
Ondo Finance brings together TradFi and crypto by tokenizing traditional investment products. The goal is to allow investors from all kinds of financial backgrounds to invest into these products, increasing accessibility and liquidity.
$ONDO has pumped 4% in the past 24 hours, with a market cap at $1.4 billion. In the coming bull run, $ONDO is expected to give solid gains.
2. Landshare ($LAND)
LAND/USD price chart
Landshare.io ($LAND) is a newer project allowing property owners throughout the US to tokenize and sell their real estate to a blockchain-based market, making them available to investors all over the world. Notably, Landshare is the first ever tokenized real estate platform on the Binance Smart Chain.
Landshare has already sold four properties as of November 2024, leagues ahead of contemporaries that have yet to sell any. $LAND, the utility token of the platform, is listed on four CEXs so far, which are MEXC, Gate.io, BitMart, and BingX; $LAND can also be found on the DEX PancakeSwap. Further, according to the next listing rules of Binance, $LAND could soon be listed on the biggest crypto exchange!
The $RWA token has also gone live recently; the $RWA token represents a share of all real estate assets listed on Landshare. Users can buy and hold $RWA to earn passive income from cash flow properties.
The platform has set a low threshold of $50 for new users, democratizing the previously illiquid market of real estate.
Notably, $LAND has gained 1.77% in the last 24 hours and 21% in the past month, ready to skyrocket in the month to come. With a market cap of $9.1 million right now, experts expect the crypto to hit $1 billion in mcap before the year ends. Getting one foot into the door while $LAND is still undervalued would be wise!
3. Realio ($RIO)
The Realio Network is a multi-chain ecosystem. It manages RWAs across non-EVM and EVM compatible chains, using the IBC protocol. The goal is again to remove entry barriers for investors from all over the world.
With a market cap at $100 million, $RIO has witnessed a 6% growth in the last 24 hours. This is another RWA token expected to provide good returns in the coming days.
4. Centrifuge ($CFG)
Centrifuge lets businesses tokenize their RWA and use them as collateral so they can borrow through Tinlake, a DeFi lending protocol. The goal of $CFG is to let SMEs access capital easily, without going through a lengthy traditional process.
$CFG has grown 0.32% in the past 24 hours, with its market cap at $206 million.
5. Defactor ($FACTR)
Defactor allows businesses to tokenize their RWA as well, offering “decentralized open-source financial technology.” The crypto has seen a recent dip at -2.16% in the past 24 hours. The current market cap is at $12.94 million.
Here’s a quick comparison of all five of the aforementioned projects for your clarity:
RWA Token Landshare Ondo Realio Centrifuge Defactor Ticker $LAND $ONDO $RIO $CFG $FACTR Assets sold 4 – – – – One year change 30% 546% 15% -40.62% -40.38% Current price $1.68 $1.05 $0.8957 $0.4071 $0.04264 Market cap $6.54 million $1.4 billion $100 million $206 million $12.94 million Potential upside 495% 35% 435% 420% 207%
Make sure to DYOR, and invest wisely!
