Sergey Nazarov, co-founder of blockchain oracle service Chainlink (LINK), thinks a growing sector of the digital asset space will go mainstream.
Nazarov shared with his 150,000 followers on social network X that real assets (RWA) have the potential to become the next big trend in blockchain.
The RWA trend in crypto aims to tokenize assets in traditional markets such as real estate, loans, bonds and more on-chain.
Nazarov said,
“Real Asset Tokenization (RWA) is the next big trend in the blockchain industry, and I believe it is on track to hold more on-chain value than cryptocurrencies…
The amount of value that can be quickly converted into RWA is tens of trillions of dollars, with only a tiny fraction currently in RWA format. This includes all commodities, all real estate, all funds and more.
Large institutions such as Blackrock, Fidelity and others have already joined the RWA trend through tokenized funds, and many more will join.”
Nazarov argues that on-chain RWA is a “superior format” for securely owning and transferring assets, and notes that they can be purchased and transferred across different countries and financial systems with less friction than traditional infrastructure.
According to the Chainlink founder, RWA provides easier access to global liquidity – something he says has fueled the growth of cryptocurrencies over the years.
“RWA has the ability to capture critical data that proves important facts about the underlying asset more quickly and efficiently than traditional systems. Good examples are the use of Chainlink to put NAV (net asset value) data on-chain for large CSDs (central securities depositories) and reserve proof of the current state of an asset basic.
RWAs are in the early stages of creating efficiency for their assets with on-chain logic. As more and more of the fund's operations/management takes place on-chain, you will eventually achieve large increases in efficiency with even significant reductions in fund operating costs.
For example, putting NAV data on-chain faster than the current system could significantly speed up the time you can redeem, reducing it from months to minutes, delivering major economic benefits.”
Source: https://tapchibitcoin.io/sergey-nazarov-cho-biet-rwa-la-xu-huong-lon-tiep-theo-trong-blockchain.html