Carlos Domingo, CEO of Securitize, asserts that integrating real-world assets (RWAs) into decentralized finance (DeFi) could expand the market by tenfold. Currently, tokenized treasuries represent approximately $4 billion of the $15.2 billion on-chain RWA market, excluding stablecoins.
Analysts from VanEck and Bitwise project the RWA space could grow to $50 billion. Domingo estimates that the Treasury market could expand to $10 to $20 billion as stablecoins reach $200 billion. He sees this growth as realistic due to new product offerings and DeFi integrations expected in the upcoming year.
Securitize has been actively working to bridge traditional finance with DeFi. In collaboration with Elixir, they launched the “deUSD RWA Institutional Program,” enabling holders of tokenized RWAs to access DeFi liquidity while continuing to earn yields on their assets.
This integration allows institutional investors to leverage their tokenized assets within DeFi ecosystems, enhancing liquidity and composability. By providing isolated yield exposure, the program offers a secure investment avenue, making DeFi more accessible and appealing to traditional financial institutions.
The collaboration between Securitize and Elixir exemplifies the potential of merging RWAs with DeFi, aiming to unlock significant growth and innovation in the financial sector. As the industry evolves, such integrations are expected to play a pivotal role in expanding the reach and utility of decentralized financial services.
