RWA Tokenization Protocols Experience Explosive Growth, Surpassing $8 Billion in TVL
Real-world asset (RWA) tokenization protocols have witnessed a remarkable surge over the past year, with the total value locked (TVL) in the sector reaching a new milestone.
According to blockchain analytics and research firm Messari , the TVL for RWA protocols soared to nearly $8 billion by the end of April.
The significant growth in the RWA sector can be attributed to the market’s increasing preference for high-yield, debt-based investments.
The analytics firm noted that RWA protocols have experienced a remarkable resurgence, driven by this market demand.
It’s important to note that the $8 billion TVL figure excludes fiat-backed stablecoins like Tether and USD Coin.
Instead, it encompasses various areas such as carry trade protocols, underwriting, yield-bearing stablecoins, commodities, securities, and real estate tokenization protocols.
The TVL in RWA protocols has surged by almost 60% since February, indicating the rapid pace of growth within the sector.
DeFiLlama, a decentralized finance analytics platform, shows a slightly lower TVL figure of $6 billion, but still showcases a staggering 700% growth in protocol TVL since the start of 2023.
In addition to the TVL growth, RWA protocols have also witnessed an increase in active users.
Dune Analytics data revealed a surge in popularity among smaller retail users, highlighting the growing adoption of RWA protocols.
Some protocols have played a significant role in driving this growth, particularly in terms of active users.
Digital carbon market platforms like Toucan and KlimaDAO, as well as the real estate tokenization protocol Propy, have experienced substantial user growth.
Tokenized treasuries have also seen remarkable expansion as yields remain
Read more on cryptonews.com
