Messari Reports RWA Sector Growth to $8 Billion

The total value locked in RWA protocols has reached nearly $8 billion, driven by the market’s preference for high-yield debt investments, according to a report by Messari.

Over the past year, RWA protocols have seen a remarkable resurgence, with their TVL soaring to nearly $8 billion, driven by a market preference for debt-based, high-yield investments.

✍️ @SteimetzKinji provides insights in the latest Messari Pro report: https://t.co/GeDgqu3hkW pic.twitter.com/zKgyXcRoMU

— Messari (@MessariCrypto) April 30, 2024

The study indicates that over the past year, real-world assets have experienced a “remarkable resurgence,” with a 60% increase in TVL since February.

The bulk of RWA consists of protocols for carry trade, underwriting, yield-bearing stablecoins, commodities, government securities, and tokenized real estate. Notably, the researchers did not include stablecoins like USDT.

The number of active users in these protocols has also risen since the beginning of the year. According to data from the Dune dashboard, March saw peak levels in transaction numbers and users.

Most of the activity is concentrated in the Propy real estate tokenization protocol, as well as the carbon digital marketplace platforms Toucan and KlimaDAO. 

Tokenized treasury bonds have also shown significant growth due to yields amid high inflation and interest rates in the United States.

According to RWA.xyz, at the time of writing, a record $1.28 billion is locked in tokenized U.S. treasury obligations and bonds. Since January, this figure has increased by 80%, primarily due to the Securitize and Ondo protocols.

The largest tokenized fund is the BlackRock USD Institutional Digital Liquidity Fund on the Ethereum network, with a volume of $375 million. 

Back in late March, ForkLog reported that the RWA token segment grew by 81% in a week. Six of the 15 largest coins in the segment showed triple-digit growth during this period.