In the evolving world of financial technology, Real-World Assets (RWA) tokenization has emerged as a pivotal shift in how investors and institutions perceive and engage with digital assets. In this key moment for blockchain technology, the adoption of RWAs from BlackRock marks a significant shift towards blockchain adoption and a new era of finance.
Since its launch in 2019, XDC Network, formerly known as XinFin Network, has been dedicated to solving real-world problems through innovative blockchain solutions. This focus on practical applications of blockchain technology has positioned XDC Network as a critical player in the industry, enhancing the potential of RWA tokenization. XDC Network's strategic vision and role aim to pioneer a new era of financial interoperability, liquidity and efficiency with the dapps built on XDC Network that perform RWA transactions on the chain.
Related: RWA Tokenization: What Does It Mean to Tokenize Real-World Assets?
The XDC Network Ecosystem features a range of Real World Asset (RWA) projects
XDC Network’s fast transaction times, interoperability and minimal fees ($0.0001), alongside its environmentally friendly design, has created a wide-ranging ecosystem of RWA projects looking to seamlessly integrate into the digital economy.
XDC has been trusted by a wide range of platforms and established industry leaders in traditional finance. Blackrock’s recent tokenized US treasury, for example, uses Securitize, which lists XDC Network in its top four supported networks. More directly, XDC Network established a joint unit with Japan’s SBI Group, SBI XDC Network APAC, to develop and deploy innovative solutions provided by the XDC Network.
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Through efficiency and established credibility with globally compliant financial giants, XDC Network has become a premier place to challenge traditional financial systems and create unique innovative solutions for tokenizing RWAs.
ComTech Gold (CGO), for example, is a digital asset backed by physical gold, where each CGO token represents one gram of gold stored securely in UAE vaults. Similarly, Kinesis Money (KAU) (KAG) introduces gold and silver-based digital currencies, offering a stable, transparent exchange and wealth protection medium.
XDC Network also powers stablecoins, like Fathom Dollar (FXD) and STASIS (EURS). In the case of Fathom Dollar, FXD is a stablecoin pegged to the U.S. dollar, supported by over-collateralized XDC Tokens, offering Real World Asset (RWA) yield from the Fathom Vault. STASIS (EURS) offers a digital euro stablecoin backed by an equal reserve, bringing fast, scalable transactions that are accessible on platforms like HitBTC and Xswap Dex.
As with stablecoins, XDC network also introduces new RWA financial instruments like tokenized U.S. Treasuries. U.S. Treasury Securities Tokenization by Yieldteq (USTY) modernizes financial instruments by tokenizing U.S. Treasury Securities on XDC Network. USTY provides exposure to an ETF that seeks to track the investment results of an index composed of U.S. dollar-denominated government bonds.
Whether the RWA is a precious metal, stablecoins, tokenized treasuries or anything else you can imagine, the XDC Network's infrastructure – characterized by fast transactions, minimal fees and enhanced interoperability – makes it an ideal ecosystem for RWA tokenization.
Deploying RWAs on XDC
RWA tokenization on XDC Network starts with the most intensive stage of the process: planning. From the onset, it's crucial to define and structure the asset intended for tokenization, ensuring that all legal and regulatory requirements are met.
This foundational step guarantees compliance and lays the groundwork for the asset's digital representation. Once defined, the team can begin designing the token's economic model, covering supply, benefits and rights, among other considerations.
With the planning stage completed, we move to the technical execution of your asset. This begins with the development of a smart contract on XDC Network's Apothem (Testnet) to ensure secure execution and desired functionality before deploying to the XDC Network. For technical assistance, developers can turn to the XDC.Dev forum, a global, community-driven platform where developers offer support and guidance for building on XDC Network. Coderun.ai, an AI assistant and coding platform tailored for the XDC Network community, also offers technical support and strategic insights. Additional resources for those looking to build deeper functionality or follow step-by-step tutorials can be found on xdc.org.
Upon successful development and testing, the next step is deploying the smart contract to the XDC Network. This marks the official issuance of tokens that represent the real-world asset, setting in motion the management and distribution of these tokens.
With your asset deployed, all that's left is making trading available on listed exchanges. Integration with marketplaces increases liquidity and allows token holders to buy or sell the asset. Platforms like TradeFinex, an open TradeFi protocol and marketplace for RWA pools, can be used to register TradeFi pools without platform fees.
XDC for the future of RWAs
RWA tokenization is a transformative process that blends the physical and digital asset worlds, offering liquidity and efficiency. The XDC Network is leading the RWA tokenization space, embracing new technologies and fostering an ecosystem that supports the growth and efficiency of digital finance. With a commitment to integrating RWAs, XDC aims to transform traditional finance by making it more accessible and efficient through blockchain.
As a rising force in the blockchain realm, XDC Network's focus on innovation and collaboration positions it as a pivotal platform for bridging the gap between tangible and digital assets, driving forward a new era of inclusive economic development.
The XDC Network is here for the future of RWAs. As the tokenized RWA space continues to heat up, get ahead of the competition and start building today.
