There is a new UPCOMING crypto narrative that big players like Binance, Coinbase, Messari, Polkastarter, and Chainlink are talking about.
We are still early and the potential is enormous.
Position yourself before the masses to reap huge rewards.💰
How to profit from RWAs:🧵
Both Binance and Coinbase mentioned RWAs in their 2023 outlook.👀
Today, you'll discover:
•Future potential
•Why is this next big narrative
•Why are they bullish about RWAs
•How to find undervalued projects
Stay until the end for BONUSES 🎁👇
1/ Real World Assets
RWA is a blockchain-based representation of TradeFi and physical assets.
By tokenizing these assets,they can be traded,easily transferred, used as collateral for loans, verified, etc.
Some RWAs:
•Commodities
•Real estate
•Insurance
•Securities
•Bonds
2/ Why put RWAs on-chain?
Some of the benefits are:
•Innovation
•Liquid Markets
•Reduced costs
•Built-in compliance
•Increased efficiency
•Increased transparency
@ChainLinkGod explained each bullet point in detail:
3/ Current stats📊
@MakerDAO is a leader in space.
They partnered with @Huntington_Bank, @SocieteGenerale,@BlockTower, and many others.
RWAs represent only 12% of MakerDAO’s assets, but are now responsible for 57%+ of total revenue.
Maker has $600M+ RWAs as $DAI collateral.
4/ Almost 1600 RWA loans were issued.
More than $4.2 billion worth of loans are generated as of today.
You can contribute to these loans at avg. APR of 13%. 🤯
How long will it take for DeFi degens to recognize this?⏳
Source: @rwa_xyz
5/ Loans risk
Although they seem attractive, loans are not without risk.
Defaults and bankruptcies are always possible.
Loan defaults by protocol:
• @maplefinance $47M due to FTX bankruptcy
• @TrueFiDAO $4.4M
• @centrifuge $2.5M
Be aware!⚠️
6/ Current space
Many projects are integrating RWAs into their services.
Some well-known are:
• @chainlink $LINK
• @GainsNetwork_io $GNS
• @AaveAave $AAVE
• @fraxfinance $FXS
• @circle $USDC
Source: @Lempheter
Check the full ecosystem below:
7/ RWAs on @DefiLlama
This sector ranks as 23.
TVL is only $140.5 Million.
Comparison(TVL):
• 1. rank (DEXs) - $19 B
• 2. rank (LSDs) - $13 B
......
• 23. rank (RWAs) - $140.5 M
Still an undervalued sector.🔥💎
8/ RWAs on @tokenterminal
4 of the 10 most popular lending protocols based on 180-day cumulative interest fees are RWAs.
Well-known RWAs protocols are:
• @TrueFiDAO
• @maplefinance
• @goldfinch_fi
• @centrifuge
Current active loans are worth $450M+...
Details:
9/Potential:
We clearly see that demand and volume are strong.
The TradeFi market is worth Trillions of dollars.💸
All that money is ready to pour in.
All we need is a great infrastructure to handle it.
Positioning yourself in that infrastructure could become very profitable.
10/ BONUS #1
@DefiIgnas wrote a detailed thread describing each project.
His thread was my main motivation for researching the RWAs narrative/sector.🤝
Must check👇
11/ BONUS #2
Track RWAs on @DuneAnalytics
@JamesT0lan made a great dashboard for easy RWAs tracking and analysis.👏
RWA token holders are growing rapidly!
Check it out below👇
dune.com/j1002/rwa-narr…
@DuneAnalytics @JamesT0lan 12/ BONUS #3
@ChainLinkGod is a blog writer for @chainlink. $LINK
In his recent blog, he described the power RWAs will bring to the blockchain.
Or, vice versa...👀
Very useful👇
@DuneAnalytics @JamesT0lan @ChainLinkGod @chainlink 13/ BONUS #4
Find undiscovered RWAs gems with @ViktorDefi.💎
He wrote a valuable thread about RWAs.
Steal it while you can...👀👇
14/ Tagging chads you need to follow:
@0xCrypto_doctor
@JumperWave
@hc_trades
@CryptoDamus411
@DeFiSurfer808
@rektdiomedes
@LouisCooper_
@resdegen
@DefiIgnas
@WinterSoldierxz
@0xTindorr
@ViktorDefi
@cyrilXBT
@0xCygaar
@TheDeFISaint
@ThorHartvigsen
@midoji7
@0xAlan_
@thedefiedge
@0xCrypto_doctor @JumperWave @hc_trades @CryptoDamus411 @DeFiSurfer808 @rektdiomedes @LouisCooper_ @resdegen @DefiIgnas @WinterSoldierxz @0xTindorr @ViktorDefi @cyrilXBT @0xCygaar @TheDeFISaint @ThorHartvigsen @midoji7 @0xAlan_ @thedefiedge Thanks for reading, you are a GEM.💎
If you enjoyed this thread:
1. Follow me @CryptoGideon_ so you won't miss more VALUABLE threads.
2. RT the tweet below to help others find more about DeFi and crypto insights.
Hope you found this helpful.🙏
#1percentbetter @NFT_GOD
UPDATE:
@binance released a new thread about RWAs.
They are even more bullish:
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