The real-world asset (RWA) tokenization market is facing significant challenges due to blockchain fragmentation, according to a report by RWA.io. The report highlights that price discrepancies of 1% to 3% for similar tokenized assets across different blockchains are caused by liquidity issues and high transfer costs. These inefficiencies result in an average loss of 3.5% per capital shift, potentially leading to annual market losses between $600 million and $1.3 billion if not addressed.
The report suggests that the market's growth, which could exceed $10 billion, is at risk unless solutions to these cross-chain challenges are found. The emergence of altcoins designed to tackle these issues may play a crucial role in overcoming the current hurdles and unlocking the market's full potential.
Fragmentation Threatens $10B RWA Tokenization Market
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