Written by Tom Wan, Analyst at 21Shares parent company 21.co
Compiled by: Peng SUN, Foresight News
Last week, 21Shares, an issuer of cryptocurrency exchange-traded products (ETPs), built and released seven RWA-related dashboards on Dune, tracking nine tokenized assets on Ethereum, Avalanche, Base, Optimism, Arbitrum, Polygon and Gnosis, including fiat-collateralized stablecoins, commodities, government securities, asset financing, real estate, corporate bonds, stocks, private equity and private equity funds.
1. Overview of Tokenization
Currently, the dashboard tracks 82 tokenized products with a total value of over $71 billion.
2023 is the first year of tokenization of real assets, and the number of products has doubled from about 40 to about 80.
By asset classification
Currently, 9 assets are tracked, including stablecoins backed by fiat currencies, commodities, government securities, asset financing, real estate, corporate bonds, stocks, private equity and private equity funds. Among them, stablecoins have clearly gained PMF in transactions and global remittances, and have become the largest type of tokenized assets.
Meanwhile, tokenization of government securities has seen the fastest growth over the past year.
By blockchain
Since fiat-collateralized stablecoins account for a large share of tokenization, the dashboard provides two options to include/exclude fiat-collateralized stablecoins.
Without stablecoins, tokenized assets on Ethereum account for $1.66 billion (76%), followed by Stellar at $306 million (14%) and Polygon at $116 million (5%).
By Project
Outside of stablecoins, the other largest tokenization projects include:
Franklin Templeton: $308 million (government securities)
Centrifuge: $247 million (asset-based finance)
Ondo Finance: $176 million (government securities)
By asset type
Government Securities
Stocks, Company Shares and Private Equity
merchandise
Fiat-collateralized stablecoins
Asset Financing
real estate
Tokenization: Fiat-collateralized stablecoins
Stablecoins are one of the earliest examples of tokenizing USD/EUR, allowing users to transfer value around the world as easily, instantly, and cheaply as sending an email. Currently, there are over $68 billion in stablecoins backed by 11 fiat currencies.
By product, project and blockchain
Tether and USDT are the representatives of on-chain tokenization of USD/Euro, followed closely by Circle and USDC.
In November 2022, Paxos had a 24% market share. But due to the crackdown on BUSD, its market share has dropped to 4%.
Tokenization: Government Securities
From a risk-return perspective, the yields on stablecoins are already unattractive compared to U.S. Treasuries.
Projects such as Ondo, Backed, and Swarm have tokenized U.S. Treasuries, with over $676 million in assets under management.
Overall, government bonds have increased by 500% over the past year.
By Product
The top three tokenized U.S. Treasuries account for 83% of the market share and are:
Franklin Templeton’s BENJI (Polygon and Stellar): $308 million
Ondo Finance’s OUSG (Ethereum and Polygon): $174 million
Matrixdock’s STBT: $83 million
Classification by protocol
In addition to asset management giants Franklin Templeton, Ondo Finance and Matrixdock, the leading protocols include Maple, Archblock, OpenEden, Mountain Protocol, Arca and Swarm.
By blockchain
In terms of blockchain, Stellar has always been dominant because of Franklin Templeton's BENJI. However, products such as OUSG and STBT have been launched on Ethereum, which have surpassed Stellar and currently have a 50.6% market share.
By owner
51.3% of holders are EOA wallets
35.9% are secure multi-signature wallets
12.8% are smart contracts
Tokenization: Commodities
Commodity tokenization has the following benefits:
Instant Settlement
Low entry cost due to fragmented shares (starting at $20)
No hosting fees
Currently, there are 5 commodity tokenized products, and Paxos, Tether, and Aurus have tokenized $950 million in gold, silver, and platinum.
By project:
Paxos issued approximately $477 million (49.9%), Tether issued approximately $472 million (49.9%), and Aurus issued only 0.2%.
By owner:
63.8% in EOA wallet
32.8% on CEX
Tokenization: Stocks, Corporate Bonds and Private Equity Funds
The dashboard includes 4 categories of assets:
Corporate bonds ($63 million)
Private Equity ($21 million)
Stock ($5 million)
Private Fund ($3.4 million)
Corporate Bonds
Tech giant Siemens tokenized $63 million worth of corporate bonds on Polygon through Obligate, a DeFi on-chain bond platform on Polygon.
Private Equity
Aktionariat AG has been tokenizing shares of Swiss private companies on Ethereum. The dashboard tracks 5 private equity holdings with a valuation of $21 million (using on-chain executed prices).
stock
Backed Finance is the largest equity tokenization project with $5.1 million in tokenization, and its most popular tokenized products are bCSPX (CSPX) and bCOIN (COIN), with AUM of $3.3 million and $1.8 million, respectively.
Stocks: By Blockchain
Gnosis Chain is a public chain that does a relatively good job of tokenizing stocks. Currently, more than 50% of bCSPX and 64% of bCOIN are issuing tokenized assets on Gnosis.
Private Equity
Securitize has tokenized $3.4 million of private equity from KKR and Hamilton Lane on Avalanche and Polygon.
Private Equity Funds: By Blockchain
Over 86.9% of tokenized private equity funds have their assets managed on Polygon, with the rest on Avalanche.
