Tokenization: A Key Evolution for the Future of Finance

BlackRock CEO Larry Fink believes tokenization is the future of finance and a key market development. Research shows that real-world asset (RWA) is becoming an important part of the crypto industry. As of May 2024, the RWA market has exceeded $6.6 billion, and the scale of asset tokenization is expected to reach $10 trillion by 2030.

The World Federation of Exchanges recently published a paper stating that tokenization is a natural progression in finance. Financial giants such as JPMorgan and Fidelity International are also actively laying out plans in this field. Custodial trusts and clearing companies have completed pilot tests for the technology and standards of fund tokenization. Deutsche Bank has joined the Monetary Authority of Singapore's Project Guardian, collaborating with several large banks to explore an interoperable tokenized fund blockchain platform.

As the blockchain narrative gains increasing attention, numerous projects are competing to become leaders in the field. Among them, IX Swap stands out with its unique approach and ambitious goals. IX Swap is a real-world asset tokenization launch platform and decentralized exchange that facilitates security token trading through licensed institutions. It aims to democratize investment opportunities in the private market and address the liquidity challenges faced by the tokenization industry.

Let's go back to 2017. At that time, only the top ten cryptocurrencies could receive significant market-making support and be listed on major exchanges. Most projects could only be listed on basic platforms, lacking order books, market makers, or liquidity. The emergence of Uniswap was a transformative innovation in the DeFi space, allowing anyone with two cryptocurrencies to create a liquidity pool through smart contracts.

Today, with the tokenization of more assets, the RWA sector is also facing similar liquidity challenges. IX Swap aims to become the Uniswap of the security token space, allowing RWA holders to legally create liquidity pools. This facilitates the trading of tokenized assets, addresses liquidity issues, and makes investments in the private market more convenient.

IX Swap offers the following main products:

1. Secondary trading products: allow trading of security tokens and fractionalized NFTs, providing access to assets such as private equity and real estate. Achieved through regulated liquidity pools and automated market-making functionalities.

2. Launch Platform: Provides unique investment opportunities in promising startups across various fields, including finance, blockchain, energy, and more.

3. SaaS Solutions: Providing subscription-based liquidity solutions for RWA platforms, connecting security Token issuers with liquidity providers.

4. IXS Token: The native Token of the IX Swap platform, used to incentivize ecosystem growth, fee discounts, governance, and more.

The IX Swap team has been dedicated to developing automated market makers for the security token industry since 2017. The platform officially launched in September 2021 and was founded by Julian Kwan, Alice Chen, and Aaron Ong. Recently, it was acquired by the parent company of the licensed tokenization platform InvestaX in Singapore.

IX Swap has established several key partnerships, including collaborations with Electrowizy, Nanuhm Angels, and Spartan Group, dedicated to driving innovation in the RWA market.

In the competitive landscape, IX Swap offers a unique, legal, and compliant secondary trading platform for RWA tokenization. Compared to competitors like Centrifuge, RealT, and Maple Finance, IX Swap has an operational AMM model and provides retail investors with a securities license.

On-chain data shows that since November last year, the IXS Token has outperformed the market. The number of smart wallets and holders is steadily increasing, but the balance growth is not significant. A large wallet of a well-known KOL has been found to hold approximately $150,000 worth of IXS Token.

The bullish factors for IX Swap include telling an engaging story, relatively reasonable valuation, emphasis on security compliance, and an experienced team. The bearish factors include market volatility risks, regulatory uncertainties, intense industry competition, and challenges in adoption and liquidity.