Real-world assets (RWAs) are tangible assets that exist outside of the digital space, including bonds, real estate properties, commodities, and machinery. In the context of blockchain, RWAs refer to digital tokens representing these physical and traditional financial assets.
Tokenizing real-world assets involves converting them into security tokens on the blockchain, allowing them to be utilized in on-chain transactions. This process enables any valued asset to be tokenized and leveraged within the digital ecosystem.