Arbitrum DAO seeks opportunities to invest in real-world assets

Some crypto companies have expressed their willingness to help Arbitrum diversify their holdings. Arbitrum is planning to invest 35 million ARB tokens valued at $37 million in liquid and stable assets. 

More than twenty-four companies pitched their products in a recently held open call, including DeFi protocol Frax, Centrifuge, and Ondo. The remarkable list of companies that pitched their products includes Franklin Templeton and BlackRock. Both companies are engaged in tokenizing assets such as stocks and bonds by bringing them onto the blockchain network. It is the best example of more financial organizations entering the rapidly changing crypto world.

Cooperatives are some of the few establishments that directly engage with Arbitrum DAO (Decentralized Autonomous Organization). It is undoubtedly an incredible initiative from Arbitrum DAO and OffChain Labs to get business organizations comfortable with submitting proposals on public forums. The collaboration between DAO and OffChain Labs eventually evolved into an excellent governance proposal. Contributions from the DeFi and TradFi teams will increase Arbitrum’s real-world assets. STEP, or the Treasury Endowment Program, originated from discussions about Arbitrum blockchain protocols.

Conversations with Arbitrum RWA protocols indicate, in accordance with the request, that they are not as interested in grants as they are in legitimate consumers of the product. An ecosystem development package for the RWA vertical on Arbitrum is also included in STEP. 

Tokenization of tangible assets is a currently popular topic of conversation in blockchain technology circles. With the resurgence of the bull market in cryptocurrencies and the introduction of relatively risky transactions in 2024, this subject has diminished. It will have to contend with its advocates, which will include BlackRock CEO Larry Fink. Tokenization, in his opinion, will characterize the subsequent generation of securities and markets. 

Securitize reportedly presented BUIDL, an Ethereum tokenized fund established by BlackRock and valued at $381 million. Securitize possesses prior experience in the realm of Arbitrum Decentralized Autonomous Organization. They had previously collaborated with reputable crypto native firms, and Franklin Templeton pitched FOBXX. 

FOBXX’s BENJI tokens are presently operational on the Stellar and Polygon blockchains. The Blockchain-experienced organization, which had previously submitted a comparable proposal, emphasized its expertise in the MakerDAO group. Aptos, Polygon, Arbitrum, and Avalanche all receive support from Franklin Templeton. The application will be reviewed by a committee of numerous business organizations with extensive knowledge of various aspects of DAO governance; a decision is anticipated by June 2024.

Arbitrum offers the most advantageous pledging and annual percentage yield opportunities. Arbitrum’s assortment of DeFi yield farming platforms consists of decentralized insurance dapps, decentralized lending dapps, and DeFi backed yield aggregators. A selection of top-tier DeFi-based yield harvesting platforms available on Arbitrum include, Liquid Finance, Contango, Garbi Protocol, and Mellow Protocol. 

Yield farming on Arbitrum has tremendous potential as a result of the platform’s developer and user activity. Syndicate Joe v2.1, Uniswap v3, Camelot v3, Ramses v2, and SushiSwap are all included on the list of leading DEXs. Uniswap v3 is a fundamental component of the yield farming domain on Arbitrum, demonstrating a sophisticated methodology towards liquidity.

Trevor Holman

Trevor Holman follows crypto industry since 2011. He joined CryptoNewsZ as a news writer and he provides technical analysis pieces and current market data. He is also an avid trader. In his free time, he loves to explore unexplored places.

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