DWF Labs has partnered with the University of California, Los Angeles (UCLA) on a new educational initiative focused on tokenized securities.

The Web3 investor and crypto market maker will be featured in a case study in the upcoming book, The STO Financial Revolution, the latest blockchain educational initiative spearheaded by UCLA’s faculty member and author, Alex Nascimento.

Through these initiatives, DWF aims to advance the institutional understanding of tokenization and security token offerings (STOs), according to Andrei Grachev, managing partner of DWF Labs.

Grachev wrote in an announcement shared with Cointelegraph:

 “We are excited to share our experience and help shape the industry’s future by influencing how institutions understand and engage with digital assets and STOs.”

DWF Labs partners with UCLA. Source: DWF Labs

Tokenized securities are financial instruments minted on the blockchain ledger for increased accessibility as part of the wider real-world asset (RWA) tokenization sector — seen as the next significant opportunity in the blockchain industry.

Some of the world’s largest financial institutions and business consulting firms believe the RWA sector could see an over 50-fold increase by 2030, potentially reaching over $30 trillion.

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Educational institutions are recognizing blockchain’s transformative potential

Increasingly, more educational institutions are recognizing the transformative potential of blockchain technology.

Universities are increasingly seeing blockchain as a “crucial infrastructure” for the future of financial technology for two main reasons, DWF Labs’ Grachev told Cointelegraph:

“There’s a need to equip future professionals with the skills and knowledge to navigate this blockchain-enabled economy. Secondly, institutions are responding to the demand from students and industries alike for advanced insights into blockchain’s potential to increase transparency, security, and inclusivity within financial systems.”

DWF Labs aims to continue partnering with research and educational institutions to further blockchain education among traditional and crypto firms, Grachev added.

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RWA tokenization: the next $10 trillion blockchain opportunity?

Most firms predict that the RWA sector may reach a market size of between $4 trillion and $30 trillion.

RWA tokenization, market size predictions by 2030. Source: Tren Finance

However, if the sector achieves the median prediction of about $10 trillion, it would represent more than 54 times growth from its current value of around $185 billion, including the stablecoin market.

The RWA sector may start encompassing more of the global financial markets as the industry matures, hence reshaping how people invest, trade and own assets in financial markets, according to Tren Finance’s research report, which wrote:

“The integration of traditional finance with blockchain technology is not just a trend, but a fundamental shift towards a more accessible, efficient, and dynamic financial ecosystem.”

Tokenized versus untokenized market. Source: Tren Finance

Still, stablecoins continue to dominate the RWA sector, accounting for over $170 billion of the market as of October 2024. In comparison, securities and treasuries tokenized onchain are valued at $2.2 billion.

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