# How RealtyX Started

## Limitations of Traditional Real Estate Investments

The global real estate market, valued at approximately [**$370 trillion as of 2023**](https://www.savills.com/impacts/market-trends/the-total-value-of-global-real-estate-property-remains-the-worlds-biggest-store-of-wealth.html), stands as the largest asset class worldwide. In comparison, the cryptocurrency market has a market cap of about $2 trillion. Real estate is considered one of the most valuable long-term investment assets in developed countries and around the globe. However, traditional real estate investments are often characterized by high entry barriers and limited liquidity, making them inaccessible to many potential investors.

## Our solution & benefits (RWA Launchpad)

**Accessible Investment Opportunities:** By tokenizing real estate assets, RealtyX lowers the entry barriers, allowing a broader range of investors to participate in the real estate market.

**Secure and Compliant Offerings:** RealtyX RWA Launchpad ensures that all tokenized assets meet regulatory standards, providing a trustworthy investment environment.

## Existing Problems in RWA

### **01 Tokenization Without User Acquisition:**

**Lack of User Engagement:** Many existing projects focus on tokenizing real-world assets without implementing strategies to acquire and engage users. In the Web3 world, user acquisition is crucial. Without an active and engaged user base, tokenization efforts struggle to gain traction, preventing the full potential of blockchain technology from being realized.

**Absence of Cultural Innovation:** A vibrant community culture is essential for fostering innovation and adoption. Many existing RWA projects fall short in fostering strong community connections or encouraging cultural engagement, resulting in low participation and limited interest.

### **02** Lack of DeFi Synergy

**Limited DeFi Integration:** Many RWA projects have not successfully integrated DeFi functionalities. This means tokenized assets remain static and cannot be utilized in lending, yield farming, leveraging, or other DeFi activities that enhance utility and value.

**Unrealized DeFi Potential of Real Estate Assets:** The global real estate market is valued at approximately $370 trillion. This immense market holds the potential to revolutionize the DeFi space by introducing substantial liquidity and novel financial products. However, existing projects have not tapped into this immense opportunity to bring transformative impacts to the Web3 economy.

## **Our solution & benefits (Utility Vault, Composability)**

<figure><img src="https://2448444292-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FkR6j46K0bq9iIUmMZzoB%2Fuploads%2F2gsUOA8IHhLXJvp23OoJ%2FiShot_2024-11-18_23.09.06.png?alt=media&#x26;token=8cdd5dd5-bac8-42a2-84c6-7eea2eacfdc5" alt=""><figcaption><p>Liquidity&#x26;Composability</p></figcaption></figure>

### **Utility Vault**

* **Collateralization of RWA Tokens:** Investors can use their RST as collateral for loans, gaining liquidity at zero cost and maximizing capital efficiency.
* **Integration with DeFi Protocols:** We are forming strategic partnerships to integrate RWA tokens into a wide range of DeFi platforms to enhance the utility and value of tokenized assets.

### **Creating a Trusted & Rewarding RWA Community**

**Campaign & Workshop:** RealtyX regularly organizes events and campaigns in a gamified and engaging manner, with the [**MTR Campaign (Building the Most Trusted & Rewarding Movement)** ](https://realtyx.gitbook.io/realtyx-docs/project-overview/broken-reference)currently in full swing. This initiative, along with others, is designed to cultivate a dynamic, interactive RWA community, boosting user engagement and fostering a vibrant, thriving culture.
