According to a recent study by IntoTheBlock, the total value locked (TVL) in decentralized finance (DeFi) protocols that utilize real-world assets (RWAs) has more than doubled in recent months. As of July 2023, RWA protocols accounted for just 1.77% of DeFi TVL. By January 2024, that number had surged to 3.69%, indicating a growing appetite for RWAs among DeFi users. This trend is likely being driven by the increasing institutional adoption of DeFi. RWAs, such as real estate and commodities, are often seen as less risky than crypto assets, making them more appealing to institutional investors. As more institutions enter the DeFi space, they are likely to bring their RWA holdings with them, further boosting the TVL of RWA protocols.