Thread by @defimastersun

Real world assets are coming to crypto, and they're about to change the game.

Here are 3 utility RWA projects that you need to keep eye on 👇🧵

If you haven't already, check out my previous thread on RWA tokenization and its inevitable impact on our world:

https://twitter.com/defimastersun/status/1658462622449299457?s=20

Let's jump straight into it

1. Galileo Protocol (@galileoprotocol)

Galileo is a multichain NFT marketplace for tokenized physical assets such as art, luxury goods, and real estate.

It is built on Quant Network (@quant_network), allowing interoperability between chains.

(1/21)

(Galileo is currently supported on Ethereum, Polygon, BNB Chain and XDC network)

With the use of pNFTs (physical Non-Fungible Tokens), the protocol creates digital twins of physical assets which can be traded peer-to-peer.

This ensures transparency, immutability, and traceability of the goods, which also allows for authenticity verification.

(2/21)

Galileo has also partnered up with LCX (@lcx) to launch the $LEOX token. $LEOX is a QRC-20 (Quant standard) token with a maximum supply of 150 million. Its utility includes discounts on trading fees, access to new NFT launches, staking rewards, and governance rights.

(3/21)

As we move forward into a more digitalized world, I foresee greater adoption of blockchain technology and this starts with the tokenization of real world items. Projects like @galileoprotocol and @tangibleDAO are breaking big into the tokenization sector.

(4/21)

2. LandX (@landxfinance)

LandX brings real world production to DeFi with tokenized agricultural commodity vaults.

This project solves meaningful problems, providing farmers with access to new capital and investors with diversified investment opportunities.

(5/21)

Through tokenization of crops, LandX provides farmers with access to new capital that can be used to improve their operations and increase their yields. This can help farmers to become more resilient to shocks and stresses, such as climate change and market volatility.

(6/21)

LandX also provides crypto-native investors with the opportunity to invest in commodities, allowing on-chain exposure to farmland crop-share and real world crop yield.

(7/21)

This is a short summary on how LandX works:

1. Farmers commit a portion of their land's crop share to LandX in exchange for capital

2. LandX issues xTOKENs to farmers, representing the value of their crop share

3. Investors purchase xTOKENs from farmers

(8/21)

4. Farmers use the capital received to improve operations and increase their crop yields

5. Investors earn a daily yield on their xTOKENs, paid out in cTokens which can be traded on DEXes

7. Farmers can exit their crop share agreement by buying back their xTOKENs

(9/21)

$LNDX token

$LNDX is the native token of the protocol. Token holders can vote on governance decisions and receive a percentage of the protocol's revenue.

Stakers of $LNDX are also eligible to become validators who will receive commisions for onboarding farmers.

(10/21)

LandX creates sustainable yield built upon regenerative finance and acts as a bridge between RWAs and blockchain technology.

I personally think that this is an innovative project with the potential to break barriers with the appropriate regulation and legal framework.

(11/21)

3. OpenEden (@OpenEden_HQ)

OpenEden is a DeFi protocol that allows users to mint and redeem tokenized U.S. Treasury Bills (T-Bills).

This makes T-Bills more accessible to a wider range of investors and opens up new possibilities for DeFi applications.

(12/21)

T-bills are short-term debt securities issued by the United States government and are considered to be one of the safest investments in the world. They typically have maturities of 13 weeks, 26 weeks, or 52 weeks.

(13/21)

How it works

1. User deposits USDC into protocol

2. OpenEden mints tokenized T-Bills for user

3. The user can then trade, lend, or stake their tokenized T-Bills.

4. When the T-Bills mature, the user can redeem them for their original stablecoins plus interest.

(14/21)

By depositing USDC and minting TBILL tokens, an investor will have legal rights to the redemption value of all the assets (T-Bills, USDC, and USD) held by the Vault.

(15/21)

OpenEden makes it possible for anyone to invest in U.S. Treasury Bills without having to go through a third party.

The tokenization of T-Bills allows users to trade, lend, or stake their T-bills for a decent yield (meaning higher liquidity too!)

(16/21)

These are the key stakeholders in OpenEden:

Investor: Users

Token issuer: Hill Lights International

Bankruptcy-remote SPV: OpenEden Cayman Ltd (OCL)

Investment manager: OPL

(17/21)

Proof of Reserves

On-chain, USDC deposits in the Vault smart contract are publicly viewable and verifiable on Etherscan.

Off-chain, the Vault’s T-Bills are held in custody by regulated custodians, which publish a publicly available daily report on its holdings.

(18/21)

OpenEden also collaborates with leading banks, qualified custodians, and tier-1 legal counsel, including Swissquote, Circle, DBS Bank , KPMG (tax advisor), Elliptic, Harneys, Capital Asia Investments, and TJ Assurance Partners PAC.

*taken from OpenEden documentation

(19/21)

Personal thoughts:

OpenEden has made one of the lowest-risk investments available on-chain for investors to diversify their portfolios and is even opening up the possibilities of interacting with DeFi protocols to yield farm with it, which is highly promising.

(20/21)

The OpenEden team has also stated that they will build out composability and interoperability features for TBILL tokens across different protocols over the next year.

This would be huge for DeFi players in the space, and I am excited to see what's in store.

(21/21)

These are 3 of the many #RWA projects that have captured my attention, and I will be writing more threads in the future about this narrative (which I'm bullish on)

If you enjoyed reading this tweet, drop me a like and RT below ❤️

Feel free to let me know your thoughts!

Tagging threadoors who inspire me ☁️

@DefiIgnas
@crypto_linn
@crypthoem
@defi_mochi
@Route2FI
@rektfencer
@CryptoKoryo
@CryptoShiro_
@0xFlips @WinterSoldierxz
@0xTindorr
@ViktorDefi
@Slappjakke
@TheDeFISaint
@LouisCooper_
@0xGeeGee
@defipleb