Traditional financial markets won’t survive without RWA tokenization
From Cointelegraph
March 21, 2025 11:00 am:
America’s tariff regime sparks a global trade war, leading investors to seek stable, yield-generating alternatives due to market challenges. Tokenized real-world assets (RWAs) offer predictable yields, market liquidity, transparency, and democratize finance, appealing to investors. RWAs are a lifeline for legacy finance, with onchain RWAs hitting $17 billion recently and poised for continued growth.
RWAs address legacy finance challenges like slow intermediaries, limited market scope, trust issues, and administrative burdens. RWAs simplify portfolio management, offer scalable capital deployment in turbulent markets, and automate verifiable transactions. Onchain private credit grew 40% in 2024, attracting “smart money” entities like JPMorgan and BlackRock, signaling a long-term trend towards RWAs.
Retail investors benefit from RWAs’ accessibility, fractional ownership, and social investing platforms. Widespread retail adoption of RWAs could reach $30 trillion in the next four to five years, outpacing traditional financial markets. Institutional and retail capital moving into RWAs present a do-or-die scenario for legacy systems. RWAs bridge the gap between traditional and emerging financial markets, offering a win-win situation for all stakeholders.
Read more at Cointelegraph: Traditional financial markets won’t survive without RWA tokenization