- Tether launches Hadron for asset tokenization.
- Hadron supports stocks, bonds, stablecoins, etc.
- Tokenization market reaches $6.5 billion.
Real-world asset (RWA) tokenization is rapidly becoming one of blockchain technology’s most promising use cases. In response, major companies are entering this growing industry to potentially benefit from it.
Most recently, Tether, the largest stablecoin issuer in the world, launched its own tokenization platform. Hadron will enable tokenization of diverse assets and hopes to take advantage of the growing RWA market.
Tether Launches Hadron for RWA Tokenization
The biggest stablecoin issuer Tether has officially joined the tokenization race. On Friday, November 15, Tether, the issuer behind USDT, officially launched Hadron. Tether’s Hadron is a platform for tokenizing a wide range of RWAs, including stocks, bonds, and commodities.
Sponsored
The platform would allow users to convert real assets into tokens on the blockchain. These assets would then be tradeable globally, reducing barriers for traders. Moreover, asset tokenization can unlock liquidity in otherwise relatively illiquid assets, such as fine art, real estate, and others. These assets can also be tokenized in fractions, enabling investors with less capital to participate in the market.
Tether CEO Paolo Ardoino explained the benefits of a RWA platform. “Traditional finance institutions have created closed, opaque systems,” Ardoino said. “With Hadron, we aim to open up access and enhance transparency through blockchain technology.”
Tether’s Aims to Capitalize on Tokenization Boom
Tether joined the tokenization market when the sector was experiencing rapid growth. According to Defillama, the total value locked (TVL) in tokenized RWAs is currently at $6.6 billion, a 12% increase from the prior year.
Ardoino explained why Tether is in a great position to launch such a platform. By leveraging Tether’s existing infrastructure, Hadron can become a scalable solution for both retail investors and institutions.
This is not the first time Tether has ventured outside its core stablecoin business. In September 2023, the company bought $420 million worth of Nvidia GPUs, to power the next generation of AI applications.
On the Flipside
- Tether became a center of controversy again after the WSJ suggested that the company is under investigation as a stablecoin issuer. The company’s CEO refuted these claims.
- In November, Tether launched a developer toolkit for Bitcoin and USDT wallets. Its goal is to make USDT support easier for wallet developers.
Why This Matters
Tether’s entry into the tokenization market is a good signal of the industry’s potential. Thanks to their unique use cases, RWAs could drive the growth of the entire blockchain sector.
Read more about Tether’s controversies:
Tether Denies WSJ Rumors: No Fed Probe, No IPO—Only Innovation
Read more about Pennsylvania’s pro-Bitcoin bill:
Pennsylvania Proposes Bill to Establish Bitcoin Reserve
