RedStone Crypto – How RedStone’s Price Feeds Will Revolutionize Securitize’s Tokenized Funds

RedStone Crypto – RedStone Secures $4.3 Billion in DeFi Data Feeds for Securitize’s Tokenized Products

RedStone Crypto – Real-world asset (RWA) tokenization company Securitize has officially partnered with RedStone, selecting it as the primary oracle provider for its tokenized products. These products include the BlackRock USD Institutional Digital Liquidity Fund (BUIDL) and the Apollo Diversified Credit Securitize Fund (ACRED), which are aimed at bridging traditional finance with decentralized finance (DeFi). According to a March 12 announcement, RedStone will deliver critical price feeds for current and future tokenized products offered by Securitize, playing a pivotal role in enabling these assets to participate in DeFi protocols.

RedStone’s Role in Expanding Tokenized Product Use Cases

As a DeFi-focused oracle provider, RedStone will enable Securitize to expand the use cases of its tokenized products into new territories such as money market exchanges and collateralized DeFi platforms. This strategic integration of RedStone’s oracles enhances the accessibility and liquidity of Securitize’s tokenized assets, enabling them to seamlessly interact with DeFi ecosystems.

RedStone specializes in providing cross-chain data feeds for decentralized finance protocols operating on multiple blockchains such as Ethereum, Avalanche, and Polygon. This cross-chain capability makes RedStone a versatile and scalable oracle solution for a wide array of decentralized applications (dApps). According to DefiLlama, RedStone has secured $4.3 billion in total value across all its clients, further highlighting its prominence and reliability within the DeFi space.

In a Series A funding round held in July, RedStone raised $15 million, with contributions from notable investors such as Arrington Capital, Spartan, IOSG Ventures, and HTX Ventures. These investments are expected to fuel RedStone’s continued expansion and its ability to support more tokenized products like those from Securitize.

Modular Design of RedStone: The Key to Scalability

Securitize selected RedStone primarily because of its modular design, which allows for rapid scalability and the ability to support thousands of blockchains and implementations. Marcin Kazmierczak, RedStone’s Chief Operating Officer, emphasized this feature in a statement, noting that RedStone can support new implementations in a matter of days. This flexibility makes it an ideal partner for tokenization companies like Securitize, which are looking to expand their tokenized asset offerings in a rapidly changing environment.

With RedStone’s price feeds, Securitize can now offer its tokenized funds on popular DeFi protocols such as Morpho, Compound, and Spark, providing users and investors with access to a range of decentralized finance opportunities while ensuring that the price data is accurate and reliable.

Growing Institutional Demand for Tokenized Real-World Assets (RWAs)

The demand for tokenized real-world assets (RWAs) is increasing, with institutional investors, private equity firms, and credit managers turning to tokenization as a means to enhance efficiency, reduce operational friction, and improve liquidity for private markets. In an interview with Cointelegraph, Carlos Domingo, co-founder and CEO of Securitize, stated that tokenized assets are becoming increasingly popular across both traditional finance and the crypto-native space.

On the crypto-native side, companies are leveraging tokenized RWAs as a secure and efficient way to manage treasury reserves, while benefiting from stable yields. Domingo pointed out that tokenization offers these companies a way to manage their financial assets more effectively while tapping into the liquidity and flexibility of the DeFi ecosystem.

Tokenization of Private Credit and US Treasury Bonds on the Rise

The tokenization of private credit and US Treasury bonds has seen significant uptake, with these assets being among the most tokenized types of real-world assets. According to industry data, the total market for on-chain RWAs is approaching $18 billion, having grown by 16.8% over the past 30 days. This growth signals a growing interest in tokenized RWAs as a new asset class.

Moreover, Security Token Market data reveals that more than $50 billion worth of assets were tokenized by the end of 2024, with real estate being the primary sector contributing to this growth. This rise in the tokenization market has attracted significant players, such as Ondo Finance, Tradable, and Brickken, further intensifying competition in the space.

The Future of Tokenization and DeFi

The tokenization of real-world assets continues to gain momentum, and with Securitize integrating RedStone’s oracle feeds, tokenized assets are becoming more accessible to DeFi protocols and institutional investors alike. As more traditional financial assets enter the blockchain space, the market for tokenized products is expected to grow even further, offering new investment opportunities and pushing the boundaries of what is possible with DeFi.

With the increasing adoption of tokenized RWAs, more investment firms are turning to blockchain technology as a way to bridge traditional finance with the decentralized financial world. The success of Securitize and RedStone in this space signals a bright future for the broader tokenization market.

Disclaimer: This article is for informational purposes only and does not constitute investment advice. Cryptocurrencies and stocks, particularly in micro-cap companies, are subject to significant volatility and risk. Please conduct thorough research before making any investment decisions.