Avalanche $50 Million Real World Asset Tokenization Initiative

Avalanche Vista, a $50 million effort to invest in real-world asset (RWA) tokenization, was introduced by the Avalanche Foundation.

Avalanche declared on July 25 that their goal was to “pioneer the future of asset tokenization.”

According to the report, tokenization will likely be one of the most important blockchain advancements of the coming ten years.

Avalanche Tokenized RWA

The scalable layer-1 blockchain network will be used to create tokenized real-world assets with an estimated $50 million in funding.

According to Avalanche Vista, it wants to hasten the development of tokenization and its application to on-chain finance (OnFi). Equity, credit, real estate, commodities, and blockchain-native assets are just a few of the assets that will be taken into consideration for tokenization.

Asset tokenization, according to John Wu, president of Ava Labs, “is a critical driver of the present,” not just of capital markets.

“The groundswell of momentum across institutions building on-chain has been astounding, and the Avalanche Foundation is taking a big leap forward with this initiative.”

By the end of 2030, the market for tokenized assets is anticipated to reach $20 trillion, according to a forecast by Security Token Advisors.

Additionally, according to RWA.xyz, the value of tokenized US Treasury securities has risen to an all-time high of $641 million. Since the start of the year, Treasury tokenization has increased by more than 460%.

In June, private wealth management company Bernstein predicted that over the following five years, around 2% of the world’s total money supply, or about $3 trillion, might be tokenized.

RWA tokenization will also be crucial for the Ethereum ecosystem because it is the industry standard, according to Ethereum supporter Ryan Berckmans:

“As tokenized real world assets grow to global ubiquity, we may expect Ethereum and our L2s to capture the vast majority of this growth. Not just because we’re a great place to tokenize, but also because we’re the best marketplace in the world.”

Alibaba Cloud unveiled a launchpad in May to set up shop on the Avalanche network and deploy its metaverse.