2024

Solana

World

Libre

<a href="https://www.thecoinrepublic.com/2024/07/22/solana-to-rally-900-as-two-bullish-patterns-emerge-on-charts/" rel="noopener noreferrer nofollow">Solana</a> has emerged as the first non-EVM blockchain adopted by real-world asset(RWA) tokenization firms. Libre, backed by top financial giants like Nomura and Brevan Howard, has adopted the blockchain for its RWA program.
Tokenized <a href="https://www.thecoinrepublic.com/2024/05/30/top-5-real-world-assets-rwa-cryptocurrencies-to-watch-in-2024/" rel="noopener noreferrer nofollow">Real World Assets</a> is one of the latest emerging blockchain sectors. In this sector, assets from traditional finance, such as bonds, stocks, funds, property, etc., are converted into tokens for faster, easier, and more efficient trading. Top TradFi giants like BlackRock have already moved into the sector.
<h2 class="wp-block-heading" id="h-libre-shows-strategic-interest">Libre Shows Strategic Interest</h2>
On its launch, Avtar Sehra, CEO of Libre, said that Solana had all the desired infrastructure for RWA assets. The CEO also praised Solana’s ability to scale. He said that the blockchain was developed to have a <a href="https://www.thecoinrepublic.com/2024/04/10/solanas-competitor-base-is-breaking-records-hits-400-tps/" rel="noopener noreferrer nofollow">high throughput</a> and a low latency, so they had chosen it to provide secondary trading services on all their asset offerings.
Libre will offer secondary trading on multiple assets later this year, all of which will be available to Solana users on launch.
Besides being fast and scalable, the blockchain also benefits from its low transaction costs.
Libre is a partnership venture between Brevan Howard-backed WebN Group and Nomura-backed Laser Digital. The firm primarily develops tokenized versions of real-world assets.&nbsp;
<h2 class="wp-block-heading" id="h-factor-giving-solana-an-edge-over-others">Factor Giving Solana an Edge Over Others</h2>
Let us now decode why Libre or any other RWA platform would choose Solana over other blockchains like Ethereum or Cardano. Two factors stand out in favour of Solana that help it gain an edge over others.&nbsp;
Firstly, Solana is a highly scalable blockchain with a high throughput capability. At press time, Solana’s real-time transactions stand at 3500 per second. The blockchain can support up to 65,000 transactions per second.&nbsp;
The corresponding value for Ethereum stands at a max of 119 transactions per second, even after the Dencun upgrade.
Scalability is essential for RWA because, in the real world, there could be an unexpected surge due to FOMO or panic selling.
Secondly, Solana has a very low latency rate, which means that the time interval between two blocks is very short. Presently, the time between two blocks of Solana stands at 0.8 seconds. This low block time helps Solana achieve real-time settlement, which is critical for RWA since the whole concept of RWA revolves around speed and efficiency.
The time between two Ethereum blocks is around 12 seconds.
Low latency means that users of RWA can have full ownership over their purchased tokens within a second. This is way higher than the real-world settlement system, which still takes upto a week to settle.
<h2 class="wp-block-heading" id="h-solana-s-growth-in-2024">Solana’s Growth in 2024</h2>
Solana was the fastest-growing major blockchain ecosystem this year. Besides memecoins, the blockchain also has a robust TVL with an even more impressive on-chain activity.
Solana memecoins were the top gainers in 2024 among all other cryptocurrencies. Bonk gained 8200% while dogwifhat gained 1400% of sustained gains. Sustained gains refer to gains made decisively and not lost after some time.&nbsp;
<figure class="wp-block-image size-large"><img fetchpriority="high" decoding="async" width="1024" height="450" src="https://www.thecoinrepublic.com/wp-content/uploads/2024/07/image-75-1024x450.png" alt="BONK 1-year Returns Till 23 July 2024, Source: CoinMarketCap" class="wp-image-620089" srcset="https://www.thecoinrepublic.com/wp-content/uploads/2024/07/image-75-1024x450.png 1024w, https://www.thecoinrepublic.com/wp-content/uploads/2024/07/image-75-300x132.png 300w, https://www.thecoinrepublic.com/wp-content/uploads/2024/07/image-75-768x337.png 768w, https://www.thecoinrepublic.com/wp-content/uploads/2024/07/image-75-1536x675.png 1536w, https://www.thecoinrepublic.com/wp-content/uploads/2024/07/image-75-150x66.png 150w, https://www.thecoinrepublic.com/wp-content/uploads/2024/07/image-75-696x306.png 696w, https://www.thecoinrepublic.com/wp-content/uploads/2024/07/image-75-1068x469.png 1068w, https://www.thecoinrepublic.com/wp-content/uploads/2024/07/image-75.png 1600w" sizes="(max-width: 1024px) 100vw, 1024px">
 <figcaption class="wp-element-caption">
 BONK 1-year Returns Till 23 July 2024, Source: CoinMarketCap
 </figcaption>
</figure>
On the TVL front, Solana’s on-chain defi assets stand at $5.3 billion, with an additional $3.3 billion worth of Stablecoins on its chain.
Turning our attention to Solana’s on-chain metrics, we see consistent growth in the last year. The total number of addresses on the Solana blockchain reached its highest point in June 2024, at 47 million.
These factors had favored Solana to make it a top choice for tokenized real-world assets.
The post <a href="https://www.thecoinrepublic.com/2024/07/23/solana-deemed-as-the-best-chain-for-the-rwa-sector-by-this-ceo/" rel="noopener noreferrer nofollow">Solana Deemed As the Best Chain for the RWA Sector, by this CEO</a> appeared first on <a href="https://www.thecoinrepublic.com" rel="noopener noreferrer nofollow">The Coin Republic</a>.

Solana Deemed As the Best Chain for the RWA Sector, by this CEO

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