After several cycles of bull and bear markets, the most enduring narrative in the crypto space has settled on RWA and asset tokenization. Honestly, this might be the biggest area of imagination and the ultimate development direction for the entire crypto market.

What is the current situation? The data speaks for itself:

The total value of stablecoins has surpassed $296 billion, with over 200 million users. Real asset tokenization products circulating on public blockchains exceed $19 billion. Just tokenized US Treasuries and cash equivalents amount to $8.83 billion, and tokenized commodities like gold exceed $3.5 billion. These figures are hard to imagine at the beginning of 2025.

But here’s the problem— for ordinary investors, this area seems to lack participation feel, and it’s hard to find the kind of overnight wealth opportunities that once existed.

In fact, identifying high-quality RWA projects is much simpler than chasing hot projects. Just remember two questions: where does the value originate, and where is it being controlled?

The destination of the value is clear: it flows into three areas—on-chain USD yields, RWA collateral, and institutional settlement and custody infrastructure. Anything outside of these can be seen as riding the trend.

If you’re unsure about the RWA landscape, directly using LINK is relatively safer. Aave is also deeply involved in this direction, integrating tokenized government bonds, CLOs, and other institutional-grade assets. AAVE is also worth paying attention to, although the risks are higher.

The greatest potential still lies in the beneficiaries of the RWA collateral lending track. Currently, besides AAVE, MORPHO and CFG have some layout in this area, but both face significant compliance and price risks. Since AAVE’s price base is already quite high, its growth potential is limited. Ondo’s Flux Finance is also worth watching.