🌊 Ripple is Tapping into a $16 Trillion Opportunity with Tokenised RWA's

Sunday is here.

Welcome back to another newsletter from us at The Merge.

Tokenisation News

🌊 Ripple Announces Offering to Clients to Tokenise Real-World Assets

🇨🇭 Half of Swiss Banks are Planning Tokenisation Initiatives

♟️ BlackRock Pushes BUIDL for Wider Use as Derivatives Collateral

Read Time: 8 Minutes

Global Market Overview

Real World Assets on-chain (excl stablecoins) are worth $13.09 billion (↑3.98% from last month).

There are 71,838 Total Asset Holders (↑3.8% from last month).

• $171.37b is in Stablecoins

• $9.20b is within Private Credit

• $2.42b is in US Treasury Debt

• $1.05b is in Commodities

• $91.87m is in Global Bonds

• $8.24m is in Stocks

The top 3 networks are 🥇Ethereum ($90.1b in Total Value Locked) 🥈Tron ($62.6b in TVL) & 🥉Binance Smart Chain ($5.29b in TVL).

Fancy taking a look for yourself? Check it out here.

So, what’s being tokenised this week?

Private Credit

Currently, there are $9.2 billion in active-value loans and $15.11 billion in total loan value across all protocols.

As of today, the top 3 current protocols with outstanding loans are 🥇Figure ($8.6b)🥈Maple Finance ($279m) & 🥉Centrifuge ($116m).

Top stories this week?

♟️ BlackRock Pushes BUIDL for Wider Use as Derivatives Collateral

According to Bloomberg, BlackRock is engaging in discussions with cryptocurrency exchanges Binance, OKX, and Deribit to utilise its BUIDL token as collateral for derivatives deals.

BUIDL currently has around $550 million in assets under management. It makes direct investments in US Treasury bonds and repo arrangements, yielding income for holders of onchain tokens.

Stablecoins

Currently, the market cap of stablecoins is $171.3 billion (↓0.07% from last month).

As of today, it makes up 0.82% (↓0.07% from last month) of all M2 Money Supply with Monthly Transfer Volume totalling $1.51 trillion (↓3.34% from last month).

The top 3 current entities are 🥇Tether ($119.5b)🥈Circle ($35.03b) &🥉Binance ($4.6b).

Top stories this week?

🌊 Ripple Announces Offering to Clients to Tokenise Real-World Assets

The San Fran-based blockchain firm has introduced new features and integrated compliance functionality that bring bank-grade custody technology to its crypto custodial services. Importantly, their offering will allow clients to tokenise real-world assets moving forward.

“The amount of crypto assets custodied is expected to reach at least $16 trillion by 2030, as such, companies need secure, compliant and flexible options to store their crypto.”

Ripple has reported that its Custody business has seen a 250% increase in customer growth year-over-year.

The service is available in major financial markets, including Switzerland, Germany, France, the UK, the US, Singapore, and Hong Kong.

Read more about it here.

🇨🇭 Half of Swiss Banks are Planning Tokenisation Initiatives

According to a poll by vision&, mintminds and the University of St. Gallen, 48% of Swiss banks are either intending or have already started using tokenisation.

The percentage of people who embrace cryptocurrency is far greater, at 64%. 58% of banks have plans for "advanced" blockchain use cases such as trade finance or settlement, in addition to tokenisation and cryptocurrency.

Since Swiss regulator FINMA polled 34 institutions last year, there appears to have been a surge in interest in tokenization. It discovered that tokenisation lagged much behind cryptocurrency trading and custody.

See more on the study.

Commodities

Currently, the market cap of commodities is $1.05b (↑5.6% from last month).

As of today, the Monthly Transfer Volume totals $179.87m (↑35.52% from last month) with 57.9k addresses that are current holders.

The top 3 current entities are 🥇Paxos ($524.7m)🥈Tether ($504.3m) &🥉Comtech Gold ($11.4m).

Top stories this week?

👑 Tokenised Physical Gold Arrives on Bitcoin Blockchain

Although Bitcoin is frequently referred to as "digital gold," actual gold (which recently hit an all-time high!) may now be minted and traded on the Bitcoin blockchain for the first time thanks to the Ordinals protocol.

In collaboration with OrdinalsBot, Swarm Markets, a real-world assets (RWA) platform authorised by German regulator BaFin, is providing gold bar investments on the Bitcoin network.

By the end of the year, OrdinalsBot will unveil Trio, a marketplace where Gold will be the first RWA accessible.

Ordinals are created by adding text or picture data to individual satoshis, which are the smallest unit of currency in the Bitcoin ecosystem, one in a billion. This process gives each satoshi a unique value.

They're frequently referred to as NFTs, or non-fungible tokens, in relation to Bitcoin.

Bonds

Currently, the total value of bonds is $91.8m (↑4.15% from last week).

As of today, the Average Yield to Maturity is 3.8% with 0.4 years in Weighted Average Maturity. There are 362 Holders (↓5.25% from last week).

The top 3 current entities are 🥇Spiko ($70.3m)🥈 Backed Finance ($20.54m)🥉 OpenTrade ($970k).

Top stories this week?

🇩🇪 Deutsche Borse Clearstream issues €10 billion+ in Digital Securities

With the launch of its next-generation digital post-trade platform, D7, Clearstream, the post-trade services provider for the Deutsche Börse Group, has achieved a noteworthy milestone of over €10 billion in digital issuance volume.

By digitising the whole post-trade value chain with D7, Clearstream hopes to facilitate the financial sector's transition to a digital economy.

Over 250,000 digital issuances have already been completed by D7, starting with the issuance procedure. Positioned as the world's premier digital financial market infrastructure, D7 adds up to 15,000 new digital issuances every week.

Important financial institutions have already joined D7, digitalising their debt instruments and structured product issuance portfolios without significantly altering their current technology stack.

Stocks

Currently, the total value of stocks is $8.24m (↑45.43% from last month).

As of today, the Monthly Transfer Volume totals $118.43k (↓75.45% from last month) with 87 Active Addresses and 791 Current Holders.

The top 3 current entities are 🥇Coinbase Global ($4.31m)🥈iShares Core S&P 500 ($1.64m) &🥉Nvidia ($1.43m).

Weekly Resource List

🌐 RWA.xyz: On-Chain RWA Analytics

Explore tokenised real-world assets and the investors, issuers and service providers participating in public blockchains. View protocol statistics, industry aggregate metrics, and the issuers all in one place (link)

🔎 Santiment: Crypto Intelligence Tool

A behaviour analytics platform for crypto, sourcing on-chain, social and development information on thousands of coins, including market signals. For RWA’s insights check out this (link) 

💳 Coinbase Wallet: The Crypto Wallet of Choice

You’ve more than likely heard and probably used Coinbase, so no introduction is needed. This is by far one of the easiest and non-crypto native wallets to be picked up and used by anyone. They even have a ‘Simple Mode’ for beginners. (link) 

As always, thanks for reading.

Vote below and let us know your thoughts this week —we’d love to hear from you.

See you next Sunday,

Merge