ON–291: Real World Assets 🌍
Coverage on BUIDL, PAXG, BCAP, and Maple
Nov 15, 2024
BUIDL | PAXG | BCAP | Maple
- Protocols like to financially incentivize projects to build in their ecosystems. BUIDL’s launch onto Aptos, Polygon, Avalanche, Optimism, and Arbitrum brings these incentives to Treasuries for the first time: Aptos, Polygon, and Avalanche each agreed to pay BlackRock a quarterly fee based on the value of their network’s BUIDL shares. It’s too early to tell if it’ll be successful, but to date, $56.6M worth of mints have occurred across all five networks as of Nov. 14, comprising 10.4% of the fund.
- The appetite for tokenized gold continues to rise as investors find ways to invest in the commodity. The size of the asset class is now up over 20% since the start of 2024. Paxos Gold (PAXG) is most widely held with 52,522 wallets owning the asset. PAXG has also seen seven straight months of net token mints, reflecting sustained interest in the product.
- RWA.xyz’s new Institutional Funds dashboard is tracking $330M of AUM across alternative funds, led by Blockchain Capital ($148M) and Superstate’s Crypto Carry Fund ($58M). Following the launch of the Securitize Fund Services platform on Oct. 31, we anticipate seeing more asset managers exploring tokenized funds to address issues like slow investor onboarding, delayed NAV reporting, and other operational inefficiencies found in traditional funds.
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Transaction Spotlight:
Now that the BUIDL Fund is multi-chain, users can move their capital to three (Aptos, Avalanche, Polygon) networks where the fund is charging lower management fees. One account already moved $25.6M from Ethereum to Avalanche. In the move, 250,000 BUIDL tokens and 25,364,613.13 BUIDL tokens were transferred to be burned on the morning of Nov 15 while the equivalent amount was then minted on Avalanche shortly after.
Now that the BUIDL Fund is multi-chain, users can move their capital to three (Aptos, Avalanche, Polygon) networks where the fund is charging lower management fees. One account already moved $25.6M from Ethereum to Avalanche. In the move, 250,000 BUIDL tokens and 25,364,613.13 BUIDL tokens were transferred to be burned on the morning of Nov 15 while the equivalent amount was then minted on Avalanche shortly after.
- Maple Finance & Syrup offer corporate credit yield to lenders, through loans issued to institutional borrowers; these loans are always overcollateralized by liquid digital assets such as BTC, ETH and SOL. Since the launch of the High Yield Secured pool in March and Syrup in June, TVL on the platform has grown >700%, recently crossing the $600M threshold. Protocol revenue has followed a similar trajectory, with October revenue up >700% from the beginning of the year.
- Syrup.fi has been the protocol's fastest growing product to date. Syrup’s yield is also generated from fixed-rate, overcollateralized loans to institutional borrowers. Launch of USDT and integrations with leading DeFi apps like Pendle brought a massive surge in TVL above $300M in just a few months.
- To unify Maple and Syrup under common governance and to share the ecosystem’s growth with the community, the Maple DAO has introduced the SYRUP token. 1 MPL token has begun converting to 100 SYRUP. In just one day, more than 800 wallets have converted more than 1.5M MPL into nearly 150M SYRUP.
- This week, the BUIDL fund by Securitize and BlackRock expanded beyond Ethereum to launch onto the Aptos, Optimism, Avalanche, Polygon and Arbitrum blockchain. The supply of BUIDL on Ethereum was decreasing, going from $557M to $513M, but with addition of these chains the total supply increased by $30M to $543M as of Nov. 14.
- The number unique holders of the BUIDL fund is slowly increasing over time to 28 holders currently. The recent expansion to other chains did not increase this number a due to overlapping wallets.
- At this point, and as shown above, 89.6% of the BUIDL supply is on Ethereum, followed by 5.0% on Avalanche, 4.8% on Optimism, 0.3% on Polygon, 0.3% o and 0.2% on Aptos and Arbitrum as of Nov. 14.
