Avalanche Could Make Major Gains in DeFi: $1B RWAs, Strategic Investment

• Real World Assets (RWA) sector in the DeFi market has seen tremendous growth, with TVL surpassing $1 billion.
• Avalanche has made a strategic commitment to tokenized assets, indicating a strong impetus towards RWAs.
• Despite this, Avalanche’s TVL continues to decline while DEX volumes remain consistent.

Rise of Real World Assets

Real World Assets (RWAs) have been gaining prominence in the DeFi markets lately and have surpassed the significant milestone of $1 billion in Total Value Locked (TVL). This marks a remarkable growth trajectory of approximately $900 million within this year alone.

Avalanche’s Commitment to Tokenization

In light of this, Avalanche[AVAX] has made a noteworthy commitment towards tokenized assets, indicating that it is taking an active role in helping to improve the condition of the ailing TVL of the protocol.

Declining TVL Despite Interest

Despite Avalanche’s attempts at increasing its presence in the DeFi space, its TVL is still declining. According to Artemis’ data, Avalanche’s TVL fell from $770 million to $608 million over the past few months. On the other hand, DEX volumes remained consistent on Avalanche throughout this period.

The Future Outlook for RWA’s and DeFi

This suggests that although there was a decline in TVL for Avalanche, it continues to draw interest through its DeFi-related dApps on the protocol. The commitment by Avalanche and increasing prominence of RWAs points towards an optimistic future outlook for both RWA’s and DeFI as a whole.


Overall, RWAs have witnessed tremendous growth despite all odds and are set to become an important part of the broader financial landscape with strategies such as those employed by Avalanche leading the charge forward.