Many people should be familiar with BlackRock. As the world's largest asset management and consulting company, under its leadership, in January this year, the industry finally waited for the long-awaited Bitcoin spot trading fund. (ETF), the adoption of Bitcoin spot ETF also directly opened a new chapter in the development of the encryption market, and also drove the entire encryption market into a new round of upward trend.
Many people may still remember that on January 11, the SEC announced that it had officially approved 11 spot Bitcoin ETFs, including BlackRock. After this news was released, Bitcoin surged higher in a short period of time, rising to more than 49,000 US dollars. After that, Bitcoin also started an almost spiral upward process. In less than three months, it broke through ATH, and the price reached as high as $73,000.
According to a recent analysis by Forbes, although BlackRock does not directly own any Bitcoin, its current 5.53% stake in MicroStrategy (MicroStrategy currently has approximately more than 120,000 Bitcoins) is equivalent to indirect ownership. With more than 6,600 Bitcoins, BlackRock has become one of the largest institutional holders of Bitcoin.
Moreover, BlackRock invested US$384 million in four Bitcoin mining companies in August last year (2023). In addition to this, they have partnerships with some large crypto players such as Coinbase, Circle.
It can be said that as traditional large institutions like BlackRock continue to increase their investment, the crypto market seems to have changed from a completely speculative market to a long-term financial market that is in line with the strategic investment of large institutions.
1. BlackRock enters the RWA field
I remember that last year, we had listed AI, GameFi, and RWA as the three narrative areas that should be focused on in 2024. Many projects in the AI-related sector have experienced a relatively good increase in the past, and now this upward trend seems to be slowly starting to spread to the RWA sector. As shown below.
One of the big drivers of this spread could be BlackRock’s announcement of a fund on the Ethereum blockchain. On March 21, BlackRock launched its first tokenized fund issued on a public blockchain, the BlackRock USD Institutional Digital Liquidity Fund (BUIDL). BUIDL will subscribe to the fund through Securitize, providing qualified investors with the opportunity to earn U.S. dollar income. The fund invests 100% of its total assets in cash, U.S. Treasuries, and repurchase agreements, allowing investors to earn income while holding tokens on the blockchain.
The RWA sector has actually been ignored by many people before. Looking at it from the perspective of market value, the current total market value of the entire RWA sector is only US$8.2 billion (the sum of the market values of 111 RWA-related project tokens in CoinGecko) , and the market value of DOGE as a currency is currently US$26.5 billion, which is equivalent to more than three times the entire RWA sector.
But with giants like BlackRock officially announcing their involvement, the current RWA appears to have become the second most popular narrative in this cycle, now behind Solana Memecoin. BlackRock CEO Larry Fink also publicly stated in a recent interview: For me, the tokenization of every financial asset is the future direction of development.
In addition, some forecast data indicate that the overall RWA market size may reach US$10 trillion by 2030, which also shows the development space and prospects of RWA. As shown below.
In addition to the increase in investment by large institutions and market expectations, let's briefly look at some of the current basic data of RWA from another angle, such as:
The current search trend for RWA is on the rise, indicating that more and more people are paying attention to this field. Through Google Trends, we can see that the global search volume of Solana is showing a downward trend, while the global search volume of RWA is rising rapidly. As shown below.
We can also see from the on-chain data that on the Ethereum network alone, there are currently more than 77,000 people holding RWA-related tokens, and this number has increased by 60% since the beginning of 2024. As shown below.
Moreover, I remember that last year (2023), Ethereum also had a relatively important proposal, that is, the Ethereum community determined a proposal to enhance the ERC-3643 standard and upgrade it to a recognized standard for RWA tokenization.
In September last year, we dedicated an article to introduce the ERC3643 protocol, and also stated in the article: The ERC-3643 standard is not only a technical specification, it is also a powerful tool that can unleash the field of asset management. new possibilities. It ensures compliance and security of token transactions, paving the way for a future where real-world assets can be managed and transferred as easily and efficiently as digital assets.
In general, whether it is based on institutional overweighting, market expectations, or some current data performance, it can be shown to a certain extent that 2024–2025 will likely become an important milestone in the development of RWA.
2.RWA sector project list
Currently, CoinGecko has included a total of 111 RWA projects, and CoinMarketCap has included a total of 119 RWA projects. Next, we will give you a simple list of some RWA-related projects that are worthy of attention in the near future based on different market value perspectives for your further study and understanding.
The basic dimensions of this screening project include:
- Projects with a market value of less than US$100 million
- And the topic score of X platform is not less than 200 points (that is, projects with high social platform attention and project community activity)
- Let’s talk about projects mentioned or introduced in Li Huawai’s previous articles (i.e. projects that Li Huawai is optimistic about in his previous articles)
8 RWA projects with current market capitalization below US$100 million:
Boson Protocol (BOSON), US$90 million, 949 points, Li Huawai’s historical articles mentioned the project 2 times
Polytrade (TRADE), US$74 million, 481 points, mentioned 5 times in historical articles by Hua Li Huawai
Swarm Markets (SMT), $67 million, 377 points, mentioned 3 times in historical articles by Hua Li Huawai
StrikeX (STRX), $65 million, 247 points, Hua Li Hua Wai mentioned 1 time in historical articles
Blocksquare (BST), $34 million, 318 points, mentioned 3 times in Hua Li Hua Wai’s historical articles
Soil (SOIL), US$26 million, 214 points, mentioned 1 time in Hua Li Huawai's historical articles
Landshare (LAND), US$17 million, 242 points, mentioned 1 time in Hua Li Huawai's historical articles
LandX (LNDX), $16 million, 497 points, mentioned 4 times in historical articles by Hua Li Huawai
Regarding the topicality score of the X platform, this score is queried using on-chain tools. The specific score is mainly calculated based on objective statistical indicators and the interests of important community participants. Simply put, the more well-known crypto figures, projects and funds that follow the account, the higher the score of the account will be. According to experience, a score over 200 is a good indicator. As shown below.
If you have a higher risk appetite, you can consider focusing on the low-market capitalization projects above. Otherwise, you can just focus on some high market value projects. Below we will list a few additional high market value projects for you.
11 RWA projects with market capitalization greater than US$100 million:
Ondo (ONDO), US$1.281 billion, mentioned 5 times in historical articles by Li Huawai
Polymesh (POLYX), US$608 million, mentioned 1 time in historical articles by Hua Li Huawai
Centrifuge (CFG), US$513 million, mentioned 10 times in historical articles by Li Huawai
Pendle (PENDLE), US$391 million, mentioned 33 times in historical articles about Li Huawai
Creditcoin (CTC), 332 million U.S. dollars, mentioned 1 time in historical articles by Hua Li Huawai
Goldfinch (GFI), US$299 million, mentioned 8 times in historical articles by Li Huawai
Dusk (DUSK), US$286 million, mentioned 1 time in historical articles by Hua Li Huawai
TokenFi (TOKEN), US$257 million, mentioned 1 time in historical articles by Hua Li Huawai
Nexera (NXRA), US$203 million, Hua Li Huawai mentioned 1 time in historical articles
Realio (RIO), US$136 million, mentioned 11 times in historical articles by Li Huawai
Maple (MPL), US$115 million, mentioned 13 times in historical articles by Li Huawai
Okay, we will share the content of this issue here for the time being. This is also the 432nd article updated by Hua Li Huawai. We will continue to bring you more related sharing later. Interested friends can contact us through Hua Li Hua. Check out Li Huawai to learn more.
The data/pictures cited in the text come from some on-chain tool platforms. Partners of the Crypto mutual aid exchange group outside Hua Li Hua: You can directly view the exchange group articles synchronized to the group, including the corresponding complete data sources/citation links.
Note: The above content is only a personal perspective and analysis, and is only used for popular science learning and communication. All projects mentioned in the title or text have no interest relationship with Hua Li Hua, nor do they constitute any investment advice. The crypto market is an extremely high-risk area. Please treat it rationally, increase your awareness of risk prevention, and abide by the relevant laws and regulations of the country and region where you are located!
