Currently, the RWA business is becoming more and more abundant, which is not only the result of the continuous deep integration of traditional Web2 finance and Web3 financial infrastructure, but also will bring more new vitality to the traditional real economy.
Author:Haotian
Seeing that the tech giant Ant Science has also quietly deployed in the RWA track, and has locked in the service of new energy assets in the ESG field - a business scenario that requires a large amount of cash flow for long-term operation.
After Ondo introduced US Treasuries and Huma accessed accounts receivable credit services, Ant Science and Sui have both cooperated with the intention of capturing the "heavyweight" application scenario of ESG, which has higher compliance requirements, better growth potential, longer launch cycles, and more professional investor groups. Let's briefly discuss the views:
1) Tokenization of real assets (RWA) is a must-choose entry point for many traditional finance (TradFi) giants to connect with the web3 field, because:
1. Although it is related to virtual assets with ambiguous regulations, its core underlying business is physical assets, which are subject to a complete legal framework and compliance clauses;
2. RWA business can be a continuation of the existing business of TradFi giants, and is highly relevant to their current customer base and business model, with a low integration threshold;
3. Virtual on-chain platforms have mature DeFi infrastructure but lack sustainable Yield income models, while the new energy business scenario requires a large and flexible capital flow, which is a perfect match.
Therefore, institutions like JPMorgan, Franklin Templeton, Goldman Sachs, and Ant, etc. will all try to maximize the possibility of RWA business implementation within their existing compliance scope.
2) The scope of ESG (Environment, Social, Governance) is actually quite large, but the urgency of integrating this type of business scenario with the web3 industry is high.
For example, asset-heavy businesses such as charging piles and photovoltaics have relatively long cash flows, but there are already many successful cases, which are quite suitable to be packaged as RWA assets, and their RWAization can indeed effectively solve the liquidity problem of assets. Another example is the high-frequency pain point scenario of supply chain finance such as accounts receivable, which can effectively solve the financing difficulties and high financing costs of small and medium-sized enterprises after RWAization.
Essentially, the reason why these traditional finance business scenarios can break through the "compliance" pressure and actively embrace web3 is that they can create greater social value, truly bringing the real industrial chain to Web3.
Moreover, it can be clearly felt that the business scenarios involved in RWA are becoming more and more mature. Initially, @OndoFinance and others chose relatively simple tokenization scenarios such as US Treasuries, and recently, @humafinance, which raised $38 million in financing, tried to build a credit service infrastructure based on income streams, including income-backed loans, credit line loans, accounts receivable financing and other more common and high-frequency scenarios.
3) This cooperation between Ant Science and @SuiNetwork further promotes the service depth and imagination space of RWA business:
On the one hand, Ant Science, relying on its Ant Chain, has been in touch with the web3 market, and its technical solution provider @zan_team and other businesses have been interacting with the web3 market. In the past 20 years, it has benefited a lot from the rich experience of Ant Group and Alipay in payment and risk control;
On the other hand, Sui, as a high-performance layer1 that has performed strongly in the past half year, has raised the flag of new DeFi applications with the security advantages of the Move language, and its background of the Meta team also gives it an advantage in the cooperation with Internet giants.
In summary, the integration of Tokenomics of traditional assets and the management tools of programmable smart contracts, i.e. web3 infra, with web2 real economy business scenarios is definitely a trend.
Currently, the RWA business is becoming more and more abundant, which is not only the result of the continuous deep integration of traditional Web2 finance and Web3 financial infrastructure, but also will bring more new vitality to the traditional real economy.
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