Real World Assets (GDVs-RWAs), which have recently been one of the most talked about areas not only in traditional finance but also in the blockchain and crypto world, are now on the radar of large companies.
Binance exchange has also signed a very important report on GDVs. Reaching a market value of $ 12 billion, GDVs are used and developed by giants of traditional finance such as BlackRock and Franklin Templeton, the report stated that tokenised versions of US Treasury bonds are also experiencing an explosion of interest in the world:
Binance Research’s ‘GDVs: A Safe Harbour for On-Chain Returns?’, Binance Research’s latest report took an in-depth look at the remarkable growth of Real World Assets (RWAs) on the blockchain. As the corporate finance world continues to embrace the potential of blockchain technology, the total on-chain GDV market has surpassed $12 billion. This growth is largely fuelled by the tokenisation of traditional assets such as US Treasury bonds, private loans, real estate and commodities, which are increasingly being integrated into decentralised finance (DeFi) ecosystems.
“Tokenised US Treasuries are booming”
With a market capitalisation exceeding $2 billion, tokenised US Treasury bonds have become one of the most important developments. With interest rates remaining high, these blockchain-based assets are becoming particularly attractive to investors seeking safe, on-chain returns. This increase reflects a broader trend towards the migration of real-world assets to blockchains, a process that provides increased transparency, automation and efficiency.
Institutional participation has also been one of the primary factors driving the growth of GDVs. Major players in traditional finance, such as BlackRock, Franklin Templeton and WisdomTree, are leading the way with innovative tokenised products. BlackRock’s BUIDL tokenised Treasury product has a market capitalisation of more than $500 million, while Franklin Templeton’s FBOXX is also an important product in this area. As traditional finance (TradFi) and decentralised finance (DeFi) are increasingly integrated, GDVs are seen as a bridge between these two areas, bringing more stability and legitimacy to the blockchain ecosystem.
“Macroeconomic environment will shape”
Looking ahead, the macroeconomic environment is expected to play an important role in shaping the future of GDVs. The recently announced US interest rate cuts could have a significant impact on tokenised Treasury bond products, which thrive in a high yield environment. Market participants need to keep a close eye on these developments, as they could also impact the overall demand for on-chain GDVs linked to traditional finance.
“The on-chain private credit space is growing”
Beyond Treasuries, the report also examined the growing role of the private credit space on the blockchain. Despite the potential risks associated with borrower defaults, on-chain private credit markets have grown by 56 per cent over the past year, bringing greater transparency and automation to this traditionally opaque sector. The report also identifies several new asset classes gaining momentum as tokenised investments, such as carbon credits, air rights and fine art. These assets offer new opportunities for eco-friendly investors looking for alternative and niche investments beyond traditional finance.
“GDVs will change the perspective”
As blockchain technology continues to integrate with traditional finance, the rise of GDVs signals a profound shift in how we view and interact with financial assets. By providing transparency, efficiency, and innovation, GDVs are redefining the boundaries of what blockchain technology can achieve in the financial world. Binance Research’s report offers important findings for anyone interested in the evolving relationship between DeFi and traditional finance and the future of tokenised assets.