yuga.eth pfp
yuga.eth
@yuga
For Real World Assets (e.g. Real Estate) to come on-chain (e.g. as NFTs), there needs to be a way of linking the physical to the digital object in a trustless way. This seems impossible. Who is tackling this and what are the solutions?
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Mike Sall pfp
Mike Sall
@sall
USDC is an example of already successful on-chain RWA. (Would you agree?) I think it can look like that, and that it's still valid "defi" to have a trusted verifier of the asset while enabling trustless (and permissionless & interoperable) transactions on it.
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Ben Scharfstein pfp
Ben Scharfstein
@scharf
Why does it need to be trustless? Could come on chain in a trusted way and enforced by real world courts and contracts. Wouldn’t get all the benefits of trustless assets but could still get some.
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Ben - [C/x] pfp
Ben - [C/x]
@benersing
Curious what has you interested in RWA? Do you invest in real estate?
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Cassie Heart pfp
Cassie Heart
@cassie
One example: house titles. The issuer would still be the state, but without a fully transparent chain of custody it’s a shitshow — there’s lots of fraud, sometimes not found until a year into possession. Doing this on chain even with a trusted issuer would be a massive win.
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Dave Morin pfp
Dave Morin
@davemorin
Has already been done with sDAO 1. Everyone who participated now owns part of a piece real estate near Flathead Lake in Montana. They are now working on doing one for a piece of productive timber land next.
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Brent Fitzgerald pfp
Brent Fitzgerald
@bf
Yes, currently impossible as a purely trustless process given dependence on off-chain entities and agreements. But certain jurisdictions + protocol combos could emerge where it’s feasible and permissionless enough for the vast majority of investors and DAOs.
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Karthik Senthil pfp
Karthik Senthil
@karthiksenthil
Think you need trust (otherwise u have the oracle problem). You can use on-chain for its other benefits tho (low overhead, composability, etc)
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Alberto Ornaghi pfp
Alberto Ornaghi
@alor
That’s the good old oracle problem. And afaik it’s not solved yet. Tokenizing real world assets still require a centralized entity.
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osama pfp
osama
@osama
oh you mean this demo from Chainlink/burrata recently — https://youtu.be/eJqZQ2_VBzo?t=1610 happy to chat if you’re interested … dc me
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Aman Dhesi pfp
Aman Dhesi
@aman
This concept has never made sense to me and I’m skeptical that real world assets on chain will ever happen in a meaningful way. Blockchains can’t enforce property rights in the real world, only the legal and criminal systems can.
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Ben - [C/x] pfp
Ben - [C/x]
@benersing
@perl
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Ryan Lackey pfp
Ryan Lackey
@rdl
There does not need to be a way to link trustlessly. Nothing is trustless at a fine enough level of detail. Market will premium or discount based on the intermediary.
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Rusty pfp
Rusty
@rusty
Municipalities will do this behind the scenes naturally as they realize it's an easier storage layer than whatever 90s monstrosity db they're using now. The only alternative is if we put guns for hire on chain first, and that's a whole other conversation.
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Jon pfp
Jon
@jamaral
Saw that Roofstock announced a property sale today via NFT with onchain financing. A step in the right direction.
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emon pfp
emon
@emon
NFC-enabled multi-sig property deed
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tyler.scharf pfp
tyler.scharf
@tylerscharf
A QR code engraved in the frame of the property that matches to the NFT deed when scanned
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Sagar Shah pfp
Sagar Shah
@sgzsh269
Harder to do it in a trustless way, but possible in a trust-minimized way. A possible approach could be to use trusted custodians to securely hold the assets and enlist multiple auditors/oracles to monitor, verify and report on-chain the status of those assets.
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0xNATIVE pfp
0xNATIVE
@0xnative
It needs legal framework. Ethereum as it is not ideal for such assets.
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Yash Agarwal pfp
Yash Agarwal
@yashhsm
The best PMF of RWA has been USDC (US Dollars on-chain), and I don’t think trustless is achievable in near term - it will be just DeFi giving better transparency & access to capital.
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