RWA typically refers to tangible assets in non-financial markets, such as real estate, infrastructure, artworks, and any high-value projects that will be used in transactions. These assets hold significant importance in the global economy, with a potential market size exceeding $800 trillion. Similarly, the RWA narrative is considered the most important channel for connecting the crypto market with traditional finance.
While the RWA narrative is attractive enough for the crypto market, existing industry facilities struggle to provide strong support for the development of the RWA sector. For example, the largest DeFi ecosystem, Ethereum, relies on $120 billion in staked ETH, which is far from sufficient to protect over $20 trillion in assets managed by institutions like BlackRock or Fidelity. On the other hand, the core user base of existing RWA products typically consists of large whale users, making it difficult for ordinary investors to profit from the RWA market as they do in DeFi. This lack of infrastructure has led to a shortage of composable structured products in the RWA sector, hindering innovation and development in the field.
Against this backdrop, Plume has taken the lead in launching a modular L1 infrastructure serving the RWA field, providing strong support for the RWA sector's development towards RWAfi. As the first RWAfi ecosystem in the industry in L1 form, Plume not only provides a foundation for various innovative applications aimed at RWA but also possesses the capability to protect a large scale of RWA assets as a dedicated RWA chain, offering ordinary users an entry point to profit from the RWA market in a DeFi manner. With a series of favorable policies brought about by the Trump administration and an increasing number of traditional financial institutions and business giants testing the waters in RWA, it signifies that Plume has vast development potential. As more top supporters join the Plume ecosystem, it is growing into the only blue-chip RWAfi ecosystem, with market valuation and imagination far exceeding existing industry facilities.
Plume: The Most Powerful RWAfi Ecosystem
Plume is currently the first on-chain ecosystem positioned as RWAfi in the industry, having launched the first L1 public chain specifically designed for RWAfi (Real World Asset Finance). Its aim is to redefine the RWAfi market with a structure that does not require user KYC or permission, providing an efficient, transparent, and convenient infrastructure for crypto-native users, helping traditional financial assets and crypto assets achieve seamless integration. The core advantage of the Plume project lies in its unique RWAfi ecosystem, promoting the comprehensive upgrade of traditional financial assets through Web3.
As the first EVM-compatible chain focused on RWA, it can modularly launch a full-stack of tools to provide a foundation for various RWAfi applications aimed at the market. Currently, Plume has launched core components including the tokenization engine Arc, smart wallets, and the off-chain data system Nexus, which not only simplifies and optimizes the tokenization process but also allows physical and digital assets to be quickly tokenized under compliance, seamlessly connecting with off-chain compliance systems and data systems. It supports asset storage, trading, and yield generation operations. Additionally, the smart wallet integrates various DeFi functions, such as yield farming and lending, helping users fully explore the potential of their tokenized assets within the on-chain ecosystem. By introducing off-chain data sources, real-time market information is transformed into on-chain usable data, enhancing the accuracy of asset pricing and trading, further increasing the market liquidity of RWA.
From an industry perspective, compared to FOMO-driven speculative sectors like Meme and AI Agent, RWA is relatively a more robust, secure, and reliable investment option, which also brings about a massive market demand. Plume precisely fills the gap in RWA investment, currently boasting 18 million wallets, 3.75 million active users, and 265 million transactions. Meanwhile, the Plume ecosystem already has over 180 RWA applications and protocols, including top financial institutions and blue-chip projects like Ondo, Royco, Blackrock, Hamilton Lane, and Franklin Templeton choosing Plume to establish their RWA presence, fully validating Plume's position and potential in the RWA field.
Moreover, on its launch day, the Plume protocol is expected to have $8 billion in tokenized assets, and the two TVL plans launched quickly reached their limits after entering the market, attracting $64 million in TVL, fully validating the market's readiness for Plume RWAfi and recognition of the Plume ecosystem.
Plume: The Only Blockchain Built to Protect Trillions of RWA Assets
At this stage, although the overall RWA market is experiencing high growth, the lack of infrastructure is also a significant factor hindering its development. Taking Ethereum as an example, it relies on $120 billion in staked ETH, which is far from sufficient to protect over $20 trillion in assets managed by institutions like BlackRock or Fidelity. As the most important facility in the current RWA sector, Plume is becoming the only blockchain infrastructure capable of protecting trillions of dollars in RWA assets.
Currently, the vast majority of chain ecosystems adopt a PoS consensus mechanism, which aims to use asset staking as the main factor for ensuring network security, but this is not suitable for the large capital scale of RWA. To address this, Plume has introduced "Proof of Representation," aimed at ensuring that tokens on the blockchain accurately reflect the ownership and value of RWA assets. This consensus mechanism periodically verifies and updates asset status and validates through smart contracts or on-chain protocols, ensuring that the relationship between tokens and real-world assets remains consistent, thus avoiding risks such as asset mismatch, forgery, or double issuance, ensuring the authenticity and legality of tokenized assets. Under the framework of Plume's consensus, each digital asset token represents a specific physical or financial asset, such as real estate, bonds, or other tangible assets, providing an efficient and secure way to manage large-scale asset tokenization, especially suitable for trillions of dollars in RWA assets.
While ensuring the safety of RWAs, Plume can collaborate with various traditional financial institutions and commercial entities to launch a series of RWA assets and products. At the same time, the Plume RWA chain, as a modular tool stack built specifically for RWA, provides seamless asset tokenization tools on-chain, supporting developers and asset issuers, allowing these assets to establish organic connections with a large investor base in an RWAfi manner and fully release their value. With Plume, RWAfi is no longer just a game for whales; ordinary users can also participate.
From market practice, specialized blockchains like Story Protocol and Ritual have proven that the market needs highly specialized infrastructure to meet the unique demands of each use case, and Plume's value in the RWA field is becoming increasingly prominent.
Plume: Positioned at a Favorable Time for RWA Sector Development
Currently, Plume is at a favorable time for the development of the RWA market.
Regulatory Friendliness
Trump's election is a significant boon for the crypto market, as he appointed several officials supportive of cryptocurrencies, such as Silicon Valley entrepreneur David Sacks, who plans to repeal Biden's cryptocurrency restrictions, while the new SEC chairman Paul Atkins strongly supports cryptocurrencies.
Similarly, the Trump administration is expected to pass the FIT21 Act during its term. For readers unfamiliar with this act, the FIT21 Act is a legislative proposal aimed at promoting fintech innovation and compliance for digital assets, providing a clearer legal framework for the application of digital currencies and blockchain technology. The act primarily focuses on the regulation of crypto assets, promoting transparency in the digital asset market and investor protection, while encouraging innovative companies to develop under regulatory compliance. FIT21 aims to enhance the competitiveness of the U.S. in the global fintech sector while ensuring a healthy interaction between the traditional financial system and the digital asset market.
It is reported that Plume is actively seizing this opportunity, not only accelerating its decentralization efforts to meet upcoming regulatory requirements but also preparing for the forthcoming U.S. crypto compliance requirements, while also capitalizing on the rapid growth of RWA driven by U.S. institutions (such as Blackrock, Franklin Templeton, Apollo, etc.).
Growth Expectations for the RWA Market
The RWA market is one of the fastest-growing narratives, with reports indicating that in Q1 2024, the TVL of the RWA sector rapidly grew to $7.61 billion, and its TVL increased 58 times within three years.
Similarly, RWA is also projected to be the third most profitable narrative in Web3 in 2024, which will drive the continued growth of RWA in the future.
Market expectations for the growth of the RWA market in 2025 remain positive, with projections indicating that by 2025, tokenization will drive the market to a valuation of $5 trillion, and an estimated $4.5 trillion asset management market will double as institutions continue to enter the crypto space.
Therefore, overall, the RWA market is expected to achieve explosive growth by 2025. Plume is not only positioned at a favorable time for the development of the RWA sector but is also at the forefront of this field, with a clear development outlook for its ecosystem, and its potential market valuation is expected to continue to rise as the ecosystem expands.
It is worth mentioning that the Plume project is set to conduct the TGE of the $PLUME token in Q1 2025, signaling the full launch of the ecosystem. With the launch of the $PLUME token, $PLUME will become the first asset of the RWAfi concept and a flagship asset of RWAs. Additionally, $PLUME will not only drive the RWAfi ecosystem but also make RWAfi accessible to crypto users, serving as the entry point for bringing RWA on-chain.
With the narrative of Plume and the project attracting a series of top investors in several funding rounds (historical funding amount reaching $30 million), Plume is undoubtedly set to become the largest TGE project in Q1 2025, and as it continues to empower, it will become a new blue-chip asset in crypto.