As the price of Bitcoin continues to fluctuate, many investors are looking for alternative ways to diversify their portfolios and mitigate risk. One emerging trend in the crypto space is the rise of onchain Real World Assets (RWAs), which are digital representations of real-world assets such as real estate, commodities, and even art.

These onchain RWAs are gaining traction as investors seek out more stable and tangible assets in the volatile world of cryptocurrency. With the recent market downturn, many are turning to these assets as a way to hedge against market fluctuations and protect their investments.

Market commentators are predicting that the total value locked (TVL) in onchain RWAs could reach $50 billion by 2025, a significant increase from the current TVL of around $2 billion. This growth is being driven by increasing demand from both retail and institutional investors who are looking for ways to diversify their portfolios and gain exposure to traditional assets through the use of blockchain technology.

One of the main advantages of onchain RWAs is their transparency and security. By utilizing blockchain technology, these assets are able to provide a verifiable and immutable record of ownership, making them less susceptible to fraud and manipulation. This level of transparency is especially appealing to institutional investors who are often hesitant to enter the crypto market due to concerns about security and regulation.

In addition to their potential for growth and stability, onchain RWAs also offer investors the opportunity to participate in the ownership and profits of real-world assets that were previously inaccessible to them. This democratization of asset ownership is a key factor in the increasing demand for onchain RWAs.

As the crypto market continues to evolve and mature, onchain RWAs are poised to play a significant role in the future of finance. With their potential for growth, stability, and accessibility, it’s no wonder that market commentators are predicting a bright future for these digital assets.