Longer term mission
(2026): Bringing Real World Assets into DeFi
Thanks to its infrastructure and its tokenization protocol, SMAT will then be able to bring real world assets on chain and to allow traditional financial players to use such assets as collaterals in DeFi protocols.
Real world assets are definitely the next opportunity to increase dramatically the DeFi market size for the following reasons:
DeFi protocols need to diversify the range of assets locked: as of today, the assets locked across dApps are mainly cryptocurrencies, the first of which being Ethereum, which accounts for approximately 70 percent of the total DeFi market;
Institutional asset allocation to real assets will increase exponentially: investors want to generate stable income without taking too much risk and to be protected against inflation.
As a result, DeFi desperately needs real world assets to unlock its full potential and the recent partnerships between DeFi protocols and major players to accept real-world asset originators into their ecosystems could be considered as marking the coming of age for DeFi (as for instance the collaboration between Centrifuge and Aave or between Societe Generale and MakerDAO).
The integration of non-crypto-related assets has substantial implications for the whole industry and represents an opportunity to exploit a multi-trillion-dollar asset class.
This step is crucial to achieve the SMAT vision: improve the accessibility, the transparency and the liquidity of the real-world asset market.
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