RWA (Real World Assets)
Real-world assets represented on the blockchain.
Beginner-friendly explanation
RWAs are real-world items (real estate, stocks, gold) turned into blockchain tokens.
📌 Example:
An apartment can be represented by an NFT on a blockchain to facilitate its sale.
Intermediate-level insight
RWAs allow physical or financial assets to become more liquid, fractional, and accessible through tokenization. They must be backed by reliable proof and custody systems.
📌 Example:
A startup tokenizes an apartment building and allows investors to buy €100 shares via Ethereum.
Advanced perspective
RWA integration requires complex legal governance, reliable custodian infrastructure, and audit and insurance protocols to prevent disconnection between real asset and token. RWAs are becoming strategic for institutional DeFi ecosystems.
📌 Example:
MakerDAO plans to integrate tokenized RWAs (government bonds, real estate) to stabilize its DAI stablecoin.
Blockchain & Technology
RWA, real-world assets, tokenization, real estate, stocks, custodian, asset proof, institutional DeFi, fractionalization, liquidity