Unlocking crypto’s potential for a sustainable future

“The next generation for markets, the next generation for securities, will be tokenization of securities,” said Larry Fink, BlackRock CEO. 

He is not wrong. The securities industry played a key role in making tokenization visible and popular. But with recent innovations, asset tokenization is now way bigger than financial securities. 

With a $16 trillion market potential by 2030, tokenization has become a way to bring Real real-world assets (RWAs) on-chain for better discovery, accessibility, and efficiency. 

It provides the much-needed bridge between TradFi and DeFi. But thanks to the unique, exclusive RWAs we’re building at PLANET, tokenization will lay the foundation for a better, more sustainable world. It’ll take the entire crypto ecosystem along, putting it into uncharted territories (in a good way).

Why RWAs matter to the world

Improper incentive alignment is the biggest roadblock to sustainable development. Those in a position to build responsibly and invest (money, time, effort) in a better world don’t have the incentives to do so at scale. And those who have the intention don’t have adequate resources or access. 

RWAs, especially the ones we’re working with at PLANET, can bridge this gap. They provide a way to blur the boundaries between our physical and digital worlds. Tangible assets—things we can hold in our hands—become available for ownership, storage, and transfers online. This gives a massive accessibility boost, opening new investment and collaboration avenues without geographical limitations. 

Traditionally, the value of natural resources and other tangible assets remained mostly underutilized. If not exploited without any care for future generations. Illiquidity was the reason for this sub-optimal situation. We couldn’t, for example, invest in saving the Brazillian forests while sitting in Canada. At least there weren’t any transparent and reliable means for the masses. 

With RWAs, however, it doesn’t matter who or where we are. From big corporations and celebrities to the average retail users, anyone can tap natural or physical value through secure and transparent on-chain methods. This brings endless possibilities, impossible even in the past decade. 

Blending exclusivity and accessibility 

We’re conditioned to believe that exclusivity and accessibility are polar opposites. From high art to posh fashion, what’s exclusive isn’t accessible to all. This also applied to natural assets due to centralized control and geographical barriers. 

Not anymore, though. PLANET makes exclusive RWAs accessible to all. Using blockchain technology allows us to digitally represent unique natural, cultural (physical artworks, etc.), and other tangible assets. Once on-chain, these assets become highly liquid for broad access. 

More importantly, RWAs gain additional utility with PLANET. For one, they generate on-chain yields. It’s a novel method to incentivize sustainable investment for corporations and retailers. Besides creating awareness, we’re giving them compelling reasons to prioritize SDGs. And we’re working with G.O.A.T.s who get this message far and wide. 

Having said that, it’s worth clarifying what we mean by ‘exclusive’ and ‘accessible’ from an RWA point of view. RWAs on our platform are exclusive in two ways. One, the underlying physical assets are scarce. Two, the on-chain representations are unique, irreplaceable, and tamper-proof, with limited supply. Third, their rarity is enhanced by their collectibility, with football superstar Lionel Messi confirming that he is helping create the first generation of PLANET RWAs. 

But despite the exclusivity, they are highly accessible due to low entry barriers. For example, users can gain fractional ownership of otherwise expensive natural assets. It allows them to enter the RWA market with minimal resources, scaling as they go with revenues from on-chain yields. 

In the case of the PLANET ecosystem, these RWAs are also a crucial part of its rewards program for early adopters, holders, and others. For instance, PLANET’s gamified utility roadmap launch saw the first 2,500 winners of the reveal game automatically win coveted digital Mystery Boxes, some of which hold celebrity-backed Real World Assets (RWAs). Later winners entered an algorithmic draw to randomly win one of a further 2,500 Mystery Boxes, again randomly carrying RWAs. 

Setting examples for crypto’s future

Besides improving accessibility for exclusive assets, we’re solving another key problem facing RWAs, i.e., transparency. Blockchains don’t ensure a strong link between physical assets and their on-chain versions by themselves. Scammers can sell ‘virtual’ twins without delivering the ‘real’ asset. 

That’s why we built an intuitive, easy-to-use companion app that lets users trace RWAs from production to delivery. It’s possible with advanced oracles for real-time connections between on-chain (digital) and off-chain (physical) worlds. Moreover, we will eventually create an RWA-based metaverse, where each part connects to the whole in a way that boosts verifiability, reliability, and community orientation. 

We’re thus setting examples and new standards that drive crypto forward as a whole. RWAs are a key force for crypto adoption. They enable robust systems to solve practical problems, generate long-term value, and unlock mass-market utility. And PLANET is all about embracing the full potential of RWAs. 

However, like financial securities, eco-friendly RWAs are yet another specific domain of tokenization. The possibilities are endless—almost anything under the sun is now tokenizable. Taking cues from our efforts, innovators can explore uncharted territories. Crypto-based systems can achieve all-time highs, not just in terms of their market price. 

RWAs are still in their early days of development and adoption. The time is ripe to test different strategies and experiments. The potential or desired outcomes are pretty clear, though. Crypto markets will become more diversified as more unique RWAs emerge. Adopters will have a wider array of options, which could promote decentralization at another level altogether. 

Better options and accessibility will attract new investors to crypto. Those waiting on the sidelines for solutions to their needs relevant to their industry. Unlike previous market cycles, the upcoming ones will have more to offer than decentralized financial services or gaming. Public good, for example, will be a key area of innovation thanks to RWAs. 

Simultaneously tapping their physical and digital value is the best way to utilize any asset completely. If there’s an accessible, equitable, and secure way to do that—nothing like it. We’re dedicated to this end at PLANET. 

It’s about time other industry stakeholders embrace RWAs and walk towards a more sustainable world. When the tools at hand have so much potential, why not use them well?

Disclaimer: This article is sponsored content and is not financial advice. CryptoNewsZ does not endorse or guarantee the accuracy of the content. Readers should verify information independently and exercise caution when dealing with any mentioned company. Investing in cryptocurrencies is risky, and seeking advice from a qualified professional is recommended.