RWA Drivers
2024 is the first time in history where building a blockchain for decentralized & traditional yield is possible.
Regulatory Clarity
The regulatory and compliance procedures for Real World Asset (RWA) protocols have been approved and used by various RWA protocols.
Technological Circumstances
With the ETH Shanghai Upgrade and wider trust in auto rebasing, there is an untapped avenue to lock up idle assets for yield generation.
Security Infrastructure
Major digital asset custodians are sufficiently advanced in their offerings to support a blockchain use case for yield.
Awareness
The general public is increasingly aware of the DeFi asset class to support a $10bn addressable market.
Onchain Capital Surge
Over $100bn in stablecoins from retail and institutional holders sit idle and incur opportunity cost without T-Bill exposure, while losing value to inflation. Blockchain with auto rebasing addresses it.
RWALayer Dual Yield
It is important to understand how the auto rebasing yield is generated for the bridged assets. Assets are bridged from Ethereum to RWALayer network. Bridged assets may generate yield in two ways:
- Auto rebasing: from L1 ETH native staking via Lido, T-bill yield from MakerDAO, BNB & CAKE via native staking, other exposure via APIs routing purchases Tether Gold, Ondo and other upcoming opportunities.
- RWA (users need to choose their preferred on-chain RWA protocols in order to access it): from RWALayer ecosystem protocols covering property, commodities, private credit and future external developments via our SDK
There are some important considerations aimed at reducing frictions and costs.
- Auto rebasing yield is credited on-chain every 7 days
- After bridging USDT, users receive RWALayer’s native stablecoin XUSD, that auto rebases yield from MakerDAO’s on-chain Treasury Bill protocol.
- Users can bridge their assets back to Ethereum anytime. XUSD can be redeemed for DAI when bridging back to Ethereum.
- Users can monitor their dual yield progress within RWALayer App: yield.rwalayer.com