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RWA Tokenization Market to Hit $16 Trillion by 2030, BCG Predicts

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Release: 2024-07-15 14:20:50
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RWA tokenization involves creating digital representations of tangible assets like bonds, real estate, and debt on blockchain networks.

RWA Tokenization Market to Hit  Trillion by 2030, BCG Predicts

Startup Hamilton has announced the tokenization of the first US Treasury bills on Bitcoin layer-2 (L2) solutions, a move that integrates traditional finance with the Bitcoin ecosystem.

Hamilton’s initiative, conducted on America’s Independence Day, aims to make financial instruments like Treasury bills more accessible and tradable within Bitcoin's decentralized finance (DeFi) networks.

“Combining US Treasury bills with Bitcoin’s security and transparency marks a historic step towards financial independence, providing crucial exposure to emerging markets,” said Kasstawi, CEO & Co-founder of Hamilton.

The tokenized Treasury bills will be available on three Bitcoin L2 solutions: Stacks, Core, and BoB. These platforms are known for making Bitcoin more scalable and functional.

Hence, they will allow Hamilton to create digital tokens representing real-world assets easily and affordably—all while maintaining the security that Bitcoin is famous for. The tokenized Treasury bills are expected to be available on Hamilton’s platform soon.

Hamilton's move comes amid increasing interest in RWA tokenization from both crypto firms and traditional financial institutions. Boston Consulting Group’s (BCG) projection of the RWA market to reach $16 trillion by 2030 highlights the potential of such innovations.

Moreover, the latest data from RWA.xyz shows that the total value of tokenized treasuries as of July 4 is $1.79 billion. The figure marks a 215.88% year-on-year increase from $566.67 million, indicating growing demand and potential for RWA tokenization in the financial sector.

RWA tokenization involves creating digital representations of tangible assets like bonds, real estate, and debt on blockchain networks. Once tokenized, these assets can be traded, transferred, and utilized within DeFi ecosystems.

This process creates new opportunities and liquidity between traditional and crypto assets, enhancing transparency, liquidity, security, and accessibility while reducing costs and transaction times.

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source:kdj.com
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