Global cryptocurrency research firm 4Pillars recently published a report titled 'Avantis' Three Growth Plans Towards a $1 Trillion Trading Volume Market', analyzing the growth potential and limitations of the Real World Assets (RWA) market. The report diagnosed that despite this being the optimal period for RWA expansion in on-chain financial history due to clear regulatory positions and flexible policy stances, market discussions remain stuck at the technical stage of 'tokenization'.
4Pillars pointed out that RWA is currently an unfamiliar asset type for market participants, and major issuance infrastructures like Securitize and ONTO are limited to US Treasury bonds. Amid this, Avantis, a decentralized cryptocurrency perpetual futures DEX based on the Base network, proposed a differentiated 'user segmentation strategy' for RWA market growth.
Avantis' strategy consists of three parts. First, an LP Vault targeting low-risk investors seeking stable interest income. Second, a futures trading engine for high-risk investors aiming for returns by taking significant risks. Third, providing an on-chain environment for investors with limited global asset access to participate in US stock and futures markets.
The report stated that "to expand the RWA market, it is crucial to clearly understand 'who' and 'why' participants enter the market" and analyzed that "Avantis is implementing a long-term growth strategy while contemplating various challenges such as diversifying RWA-based interest products, advancing trading environments, and improving user experience".
