UPDATE: The World of Onchain Real World Assets

Blockchain real estate and the greater universe of RWAs

Did you notice the title and subtitle really confuse astronomical terms? That’s because I’m firmly planted on terra firma and don’t know what goes on “up there.”

It's been a while since we've updated our readers on the Blockchain real estate world & the greater universe of "real world assets." Lots has been happening beyond our team's endeavors at CougarDAO LLC.

First, let's discuss what is included in this term "real world assets." RWAs are a whole class of assets being tokenized onchain. Some claim it to be an emerging sector. Many of us have been focused on the space since the last bull-cycle. RWAs includes tokenization of treasury bills; cars; collectibles; carbon credits; equities; government ID; & real estate.

If you ask the team at CougarDAO, real estate is the ultimate version of RWAs. Presently, however, much of the focus comes from the crossover of traditional finance and DeFi in the form of stocks and other financial assets traded onchain. Essentially, just the tokenization of existing financial products. I find it tremendously uninteresting but a necessity.

If you ask BlackRock, they seem to envision a $10 trillion RWA sector, according to an article from Forbes in March of this year. Probably more believable based on the timeline, Cointelegraph highlighted "real-world asset (RWA) tokenization is set for explosive growth over the next 5 years with assets under management potentially topping $600 billion by 2030."

Leaders in Blockchain Real Estate:

Who is the most focused & leading efforts of growth in the Blockchain real estate space? Fabrica. Our friends at Fabrica, Federico Pomi & Daniel R. are absolutely leading the way with regard to onchain RE. Fabrica turns real properties into digital assets, making real estate programmable. Property on Fabrica can be traded instantly & used as collateral.

CougarDAO currently has our farm & our recreational property tokenized & up for sale on the Fabrica platform. We are actively looking for developed real estate for our next endeavor and that takes time.

Fabrica recently partnered with Permian Labs, whose first protocol MetaStreet (an onchain structured credit market) allows property owners to take out instant loans on their property listed on the Fabrica platform. Loans are presently above prime, but we're moving in the right direction!

Natural Capital:

Another Cougar is hard at work focusing efforts at maintaining the health of our world. Thomas Morgan aka TMO, is hard at work building BASIN Natural Capital. Visit their site and review their natural capital investments in their BASIN Ensurance Binder. The BASIN Protocol utilizes real asset fundamentals to render natural capital investable. Think of the beauty of the earth around us and how we monetize nature to keep it natural!

4-Plex Shares Selling Onchain:

Fellow Coug DJ Scruggs is also working with onchain real estate. DJ owns a quadplex in Denver, CO. He’s taken a share of that 4-plex and put it up for sale on Lofty. Lofty is a fractional real estate marketplace.

CougarDAO as a whole has been reluctant to get into the fractional buying and selling of real estate in an effort to avoid securities regulations. We are a self funded company and doing what Lofty is doing is wonderful for those with venture capital funding.

DJ, however, was willing to take some risk with his own property to educate our team and the rest of the world about fractional onchain ownership of real estate. Having a solid software programming background has helped DJ traverse the Lofty listing. Check out this educational video about his experience:

Beyond Real Estate:

Next up: Ump Labs - CougarDAO member Nick Bax and his team are hard at work developing the Universal Marketplace Protocol. They're building a decentralized escrow platform, complete with dispute resolution built in (think eBay). UMP facilitates secure transactions between buyers & sellers with automated smart contracts. You can head over there right now & buy some stickers or a magazine with a few clicks. Think Shopify for onchain transactions.

The big question of course, is where will most of the RWA interactions take place? For real estate, it's likely to be on Ethereum and likely L2s in the future. Wouldn't be surprised to see Coinbase and the Base Superchain being the likely recipient of most RWA involvement given their reach & funding. We'll see what Jesse Pollak says.

Upcoming RWA Events:

Coming up tomorrow is a RWA BASE SUMMIT 2024 put on by Ondo.Finance and Base and live streamed on Condo_Base.

The Keynote Speaker is Jonathon Chambless, founder of LV8R Labs. Jonathon is also highly focused on the tokenization of real estate and has been a builder in the Blockchain real estate space since the last bull-run.

You can learn more about this summit below: