Renowned

Decoding the future of RWAs & tokenization ◈ Turning complex ideas into content worth reading ◈ Exploring & building with AI

◈ Community operation @SpaceMworld

[Renowned @renowned_eth]

We traded horses for airplanes, yet the global financial system is still running on carrier pigeons. Tokenization is the airplane.

Here is everything you need to know about the trillion-dollar RWAs economy. 👇 https://t.co/WSPY0966Is

[Renowned @renowned_eth]

@ZeusRWA @steinRWA @arbitrum this is massive 👏

[Zeus 🇬🇧 @ZeusRWA]

The @arbitrum RWA ecosystem is huge.

100+ companies mapped below. 📍

[Renowned @renowned_eth]

@OseroHQ @SkyEcosystem awesome 👏

[Renowned @renowned_eth]

@happytokenizing I’m all in, bullish

[Renowned @renowned_eth]

@RWAFoundation_ @happytokenizing I have to explore more on arbitrum, ty for this detailed article :)

[stein @steinRWA]

DO YOU KNOW WHAT YOU HOLD?

[RWA Foundation @RWAFoundation_]

https://t.co/rWdpkNnErw

[DAO Times 🛡️ @dao_times]

One detail in the OUSG example @renowned_eth gives: Ondo caps instant redemptions across all investors. The shared cap can bind even when an individual investor still has room.

[Papa_Kyenn🤝 @KyennMark]

https://t.co/TKM9gNIpXQ

[Renowned @renowned_eth]

@dao_times Thanks for the shout out 🫡

[Renowned @renowned_eth]

@ShiftRWA Real world assets are naturally occurring phenomena such as tornadoes, hurricanes, earthquakes, and so on.

[Renowned @renowned_eth]

Tokenizing a financial asset is one thing, but also making it tradeable and accessible when investors need liquidity is another, and a development involving BlackRock's BUIDL fund makes this distinction particularly interesting.

On November 12, @Securitize and @ethena launched a $100 million, 24/7 liquidity facility for BUIDL, BlackRock's tokenized institutional liquidity fund.

The facility allows eligible investors to exchange BUIDL for supported stablecoins or convert those stablecoins back into BUIDL, even outside traditional market hours.

But why is this important? It is because putting a financial asset on-chain doesn't automatically solve the problems surrounding how it's purchased, exchanged, or settled.

Think about it, traditional securities markets rely on established systems to process transactions, transfer assets, and settle payments, and while tokenization can make financial instruments transferable through blockchain infrastructure, those transfers still need a reliable payment mechanism.

This is where onchain money becomes useful. Imagine purchasing $10,000 worth of a tokenized Treasury fund using stablecoins. The stablecoins serve as the payment asset, while the fund tokens represent your defined financial interest.

In a properly designed settlement arrangement, both transfers can be linked so that the buyer receives the asset only when the seller receives payment. This mechanism is known as Delivery-versus-Payment (DvP). It's an established concept in traditional capital markets, but blockchain infrastructure can enable its implementation through programmable transactions.

The objective is straightforward: reduce the risk of one party delivering an asset without receiving the corresponding payment.

Now, consider what happens when that infrastructure operates beyond conventional market hours. Tokenized assets can potentially move between eligible participants more frequently, while stablecoins provide a way to exchange dollar-denominated value without relying on every individual transfer passing through traditional banking hours.

Of course, that doesn't automatically guarantee liquidity. There still needs to be sufficient demand, available settlement assets, functioning infrastructure, and compliance with applicable regulations.

This is why the Securitize & Ethena development caught my attention. It demonstrates that the next stage of tokenization isn't simply about issuing more assets on-chain.

It's also about building the infrastructure that makes those assets useful after issuance, and stablecoins are one part of that infrastructure, alongside tokenized bank deposits and other forms of digital money.

Tokenization can change how an asset is represented. Settlement infrastructure determines how efficiently that asset can exchange hands.

Understanding both is essential to understanding the future of onchain capital markets.

[RWA Foundation @RWAFoundation_]

50 likes and we will release the @arbitrum article today.

[Renowned @renowned_eth]

@ZeusRWA @ScofieldOnchain they are probably cooking something

[Zeus 🇬🇧 @ZeusRWA]

Some bull has been in my office.

[Renowned @renowned_eth]

@ZeusRWA notis been on, positioned.

[Renowned @renowned_eth]

@ZeusRWA TGIF Zeus.

[Renowned @renowned_eth]

@Amenouboy rise and shine, ameen

[Renowned @renowned_eth]

gm ct,

tgif, and have a wonderful one.

[Renowned @renowned_eth]

@adroit0010 have a great day Adroit

[Renowned @renowned_eth]

@constkogan thanks, kogan