|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cryptocurrency News Articles
Real-World Assets Become the Best-Performing Sector in Crypto as Memecoins Flounder
May 30, 2024 at 01:14 am
While memecoins have taken a large chunk of the crypto users’ mindshare, real-world assets have been the best-performing sector in the crypto ecosystem month-to-date.
Real-world assets have emerged as the standout performer in the crypto ecosystem this month, with a surging token linked to BlackRock grabbing the spotlight.
According to data from blockchain analytics firm Artemis, the fully diluted market cap of the real-world assets (RWA) sector – composed of the governance tokens of Ondo Finance, Clearpool, and Maple Finance – has increased by 53.5% since May 1. This outpaces other sectors such as memecoins, decentralized finance (DeFi), and oracles.
“Generally, investors are bullish [on] RWA post ETH ETF approval as they think about what that unlocks,” Vincent Jow, co-founder of crypto investment firm Modular Capital, told Unchained in a direct message.
However, it's worth noting that Artemis' chart is weighted by fully diluted market capitalization, which means that the performance is heavily skewed by one token.
“Clearpool and Maple are relatively small (less than $200m FDV) compared to Ondo ($12bn+ FDV),” Jow added.
The three projects in Artemis' RWA sector have a combined fully diluted valuation of $12.2 billion. Of this, Ondo Finance accounts for 97% with an FDV of nearly $11.9 billion, while Clearpool's FDV stands at almost $187 million and Maple's at roughly $147 million.
ONDO has risen by over 54% in May to trade at $1.20 at press time, according to CoinGecko. CPOOL, the governance token for Clearpool that can be staked, has increased by 25% to hover around 19 cents, while Maple Finance's governance token MPL has jumped by 24% to $14.67 in the same time period.
Ondo also has a relatively small circulating market cap compared to its fully diluted market cap, which further skews the numbers, according to Modular. A protocol's market cap is the number of tokens currently circulating multiplied by the price of a single token, while a project's FDV is the theoretical market cap of the project if all tokens were circulating in the market.
The circulating market caps of Maple and Clearpool's governance tokens are 78% and 60% of their FDV, respectively. In contrast, ONDO's market cap, which sits at $1.7 billion, makes up less than 14.5% of its FDV.
In terms of total value locked (TVL), Ondo Finance remains the most popular parking spot of the three projects, with crypto users locking $470 million in total value into Ondo Finance, $4.6 million into Clearpool, and $1 million in Maple Finance, according to data from DefiLlama.
While Clearpool and Maple Finance's TVL have remained relatively stable and haven't seen substantial growth in May, Ondo's TVL has grown by $117.85 million month-to-date from $352.67 million.
Ondo Finance is a tokenized real-world asset platform that has two flagship products: USDY for individuals and OUSG for people who meet specific “qualified purchaser” requirements.
According to Ondo Finance's documents, USDY “is a tokenized note secured by short-term US Treasuries and bank demand deposits,” designed to act as a stablecoin with U.S. dollar-denominated yield, while OUSG “provides liquid exposure to short-term US Treasuries with 24/7 tokenized subscriptions and redemptions.”
Ondo propelling the RWA sector to become the best performing sector in May, according to Artemis, comes as Ondo applied earlier this month to Arbitrum's Stable Treasury Endowment Program which aims to diversify 35 million ARB tokens into stable real-world assets backed by Treasury bills and money market instruments.
Ondo Finance is also connected to BlackRock's BUIDL Fund, which has a $473 million market cap. According to its documents, a “significant majority” of Ondo's OUSG portfolio is currently in BlackRock's BUIDL Fund. Further, data from blockchain explorer Etherscan shows that Ondo Finance holds 10.5% of BUID.
CoinDesk reported in March 2024 that Ondo was shifting $95 million of its assets backing the OUSG token from BlackRock's iShares Treasury Bond ETF to Blackrock's tokenized BUIDL fund.
“The performance of the RWA space is somewhat to be expected,” Jim Hwang, COO at Firinne Capital, wrote in a text message to Unchained. “We are starting to see real world and onchain finance merging which opens up the potential for both domains.”
Disclaimer:info@kdj.com
The information provided is not trading advice. kdj.com does not assume any responsibility for any investments made based on the information provided in this article. Cryptocurrencies are highly volatile and it is highly recommended that you invest with caution after thorough research!
If you believe that the content used on this website infringes your copyright, please contact us immediately (info@kdj.com) and we will delete it promptly.
-
- BitMEX Co-Founder Arthur Hayes Sells 350K PENDLE Tokens at a $790K Loss
- Sep 21, 2024 at 12:25 am
- In a significant trading blunder, BitMEX co-founder Arthur Hayes has sold 350,000 Pendle PENDLE/USD tokens worth approximately $1.26 million
-
- Bitcoin (BTC) Price Predictions: Analyst Michaël van de Poppe Anticipates New All-Time High (ATH) in October
- Sep 21, 2024 at 12:25 am
- Renowned crypto analyst and trader Michaël van de Poppe has shared his insightful analysis of Bitcoin's future. Earlier today, he tweeted and explained that the BTC price is following the plan
-
- Polkadot and AI Companions Falter, While BlockDAG Testnet Launch Drives Presale to $73.5M
- Sep 21, 2024 at 12:25 am
- In recent crypto news, Polkadot and AI Companions have been making waves, though for less favorable reasons. Polkadot has hit a 12-month low, and AI Companions experienced a 13% drop in price. But while these coins face uncertainty, BlockDAG is gaining momentum with its recent Testnet launch.
-
- The Royal Canadian Mint Issues Its Newest Gold Maple Leaf (GML) Bullion Coin Completely Sourced From a Single Mine
- Sep 21, 2024 at 12:25 am
- The Royal Canadian Mint is issuing its newest Gold Maple Leaf (GML) bullion coin completely sourced from a single mine and it will offer Costco Canada
-
- Fantom (FTM), Immutable X (IMX), and Basic Attention Token (BAT) Experience Whale Activity Surges
- Sep 21, 2024 at 12:25 am
- Over the past day, Fantom (FTM), Immutable X (IMX), and Basic Attention Token (BAT) have experienced significant surges in crypto whale activities.
-
- Claiming Mastery: Dominate the $UNI Airdrop
- Sep 21, 2024 at 12:25 am
- UNISWAP Airdrop Step-by-Step Guide: How to qualify for UNISWAP Airdrop?
-
- MicroStrategy Completes $1.01 Billion Upsized Offering of Convertible Notes to Acquire More Bitcoin
- Sep 21, 2024 at 12:25 am
- MicroStrategy, the company led by Michael Saylor, has taken a significant step in its Bitcoin accumulation strategy by recently completing a convertible senior notes offering that has raised a total of $1.01 billion.
-
- XRP Whales Accumulate $228M, Investors Wait For A Big Move
- Sep 21, 2024 at 12:25 am
- XRP has shown remarkable resilience recently, maintaining its position above a critical support level, though a significant price move still looms.
-
- GoodEgg (GEGG): The AI-Powered Social Dating Meme Coin That's Shaking Things Up
- Sep 21, 2024 at 12:25 am
- The world of cryptocurrency is always evolving, and the latest trend in AI-powered tokens is capturing significant attention. GoodEgg (GEGG), an AI-based social dating meme coin, is attracting some of the biggest investors from the Artificial Superintelligence Alliance (FET) community.