DeFi sector to benefit from tokenizing renewables, says Aave’s Kulechov.
Currently, the RWA market is valued at approximately $25 billion, dominated by U.S. Treasury bonds, real estate, and private credit. Kulechov described these assets as scarce and predicted further growth in the segment.
However, the entrepreneur sees the main potential in digitizing so-called “abundant assets.” In addition to solar energy, these include:
According to Kulechov, these areas will offer higher returns compared to scarce resources, which are on a “low-margin and declining profitability path.”
“Capital is eager for new types of collateral, and the world is ready for the transformation that on-chain lending can capture and accelerate,” he noted.
He forecasts that the RWA market will reach $50 trillion by 2050, with solar energy alone accounting for $15 trillion to $30 trillion.
Kulechov provided an example of a tokenization scheme for a new class of assets:
“An investor can buy tokenized solar energy, hold it for three years, sell it for a profit, and immediately reinvest in a new development,” he explained.
The key advantage of this model is capital efficiency. While traditional infrastructure locks up funds for decades, RWAs enable continuous trading.
