April 26, 2024
The latest trend in the blockchain world is RWAs, that is, Real World Assets and tokens indexed to them. The tokenization of real-world assets is now on the agenda even for people on the street: The most important initiative in the news on this subject was launched by BlackRock, the largest of the world's giant investment funds. The name of the new fund, which they call BUIDL, stands for BlackRock USD Institutional Digital Liquidity Fund , but actually created by making a game on the word BUILD, refers to the word HODL, which has been famous in the cryptocurrency community for years. This concept, which emerged with the mispronunciation of the word HOLD, that is, "hold", by a Chinese investor, has now become a legend. Referring to this mispronunciation, BlackRock's marketers have launched a massive campaign to embrace the tokenization of Real World Assets.
As you know, Cropto Tokens are pegged to agricultural products, i.e. tangible real-world assets, even the most real assets there can be in the world. For two years, we have been striving to build and announce perhaps the most important token family indexed to real-world assets in our country and in the world. In this effort, we have the wind at our backs as the whole world suddenly starts to show interest in RWAs.
However, when we look carefully into the BUIDL wind that BlackRock is blowing, we see that their RWAs have not yet arrived in physical assets like our Cropto, and that they are still talking about the tokenization of the (digital) assets of the financial world. We have not yet heard that agricultural products, oil, natural gas, or coal are being tokenized. The tokenization of the digital assets of the financial world is actually a battle, and an important battle, of a war that is taking place between the owners of monetary systems (which are divided into two fronts). But the tokenization of wheat, oil, and other important physical world assets, such as the b-h items in the list I have given below, will mean that we will start living in another world. However, we are not there yet. As Cropto, we are the fintech start-up that comes closest to that day in the world, thinks about that day the most, and best understands the importance of agricultural assets. The day has come to tell the world about it.
Assets to be tokenized in the next 2-3 years:
a. Financial assets such as bonds, bills and sukuk,
b. Real estate, i.e. physical assets such as land, apartments, buildings,
c. Metal assets and jewellery such as gold, silver, platinum, etc.,
d. Underground resources such as natural gas, oil, coal,
e. Power plants where we produce energy such as HEPP, SPP and their output,
f. Agricultural assets such as wheat, barley, corn and hazelnuts,
g. Agricultural products that should be consumed in a short time, such as fresh fruits and vegetables,
h. Artistic assets, whether physical or digital.
Now, in the RWA hype these days, the companies that BUIDL and BlackRock invest in are infrastructure companies that are used to tokenize RWAs with financial instruments called "money market tools". BlackRock has not yet been interested in the tokenization of a physical asset. All the storms that are brewing are for the digital currency market tools. Oh, are they insignificant, no, I'm not saying that. However, the tokenization of tangible physical assets, especially agricultural commodities, oil and precious stones, and commercial commodities, is truly revolutionary. BlackRock hasn't attempted that revolution yet.
Wechsel
Now I'm going to tell you about a very important mechanism called Wechsel. This term means to change in German, a banking term used to exchange money from one unit to another. However, there is another mechanism that is referred to by this term: This mechanism, which is very similar to our post-dated checks, has appeared in various countries from time to time in the last century.
For example, when the Soviet Union collapsed in 1991, the economy suddenly became inoperable due to the sudden depreciation of the rubles. At that moment, as an alternative solution, giant companies such as Gasprom and Lukoil produce forward bonds indexed to gasoline and diesel, fuels that provide energy. These are called Wechsel in Russia. Like our post-dated cheques, these Wechsels are used as banknotes in the market by circulating their backs as they change hands, that is, by assigning them repeatedly.
If you pay attention, these Wechsels are actually notes indexed to RWAs, that is, real commodities such as oil and gas, on paper, and they were used as money. Now, if we look at today, there are sanctioned countries in the world that cannot use dollars or euros in commercial activities, and African countries that are not sanctioned but whose national currencies are printed by the central bank of France and are subject to a kind of colonial system. Nor may these countries have a giant commodity corporation to produce Wechsels to turn to when they have no paper money to rely on. For example, these African countries can use wheat-pegged tokens as their national currency.
This possibility, which may seem like a herpes when you first hear it, will become a reality in the future. As Cropto, we have demonstrated the technology and procedures for the production of tokens pegged to grains such as wheat, barley and corn, a kind of temporary law in practice so far. Don't be surprised if one day an African country rejects the mold set for it by its former colonizer, France, and thinks of using Cropto Tokens as its country's national currency. After all, a kg in return. A token with wheat can be easily used as a means of payment in buying and selling from mobile phones. Imagine if the prices of goods within the country were suddenly expressed in one of the Cropto Agriculture Tokens, for example, the Cropto Wheat Token (Short Code: CROW)! That's when an event will happen that will make even the giant fund BlackRock drop to the floor. Then the whole world will really understand how RWAs, tokens equivalent to real agricultural products, can lead to a revolutionary change.
As Cropto, we set out with two main goals for our country and the world's humanity, the first is to pave the way for even the normal citizen on the street in our country and in any part of the world to invest in agricultural products easily and quickly 24/7 in the amount they want, and thus to ensure that the prices of local and global agricultural products are more democratic and participatory; secondly, the use of Cropto Agricultural Tokens (Cropto Wheat, Barley, Corn, Hazelnut and other Cropto Tokens) as a global currency (Cropto = Global Agriculture Currency) in the global trade, export and import of agricultural products between countries. On the other hand, if we consider that the prices of agricultural products generally increase in the range of 25-100% on an annual basis, we cannot generally talk about a bear market for agricultural products, that is, a market where prices decline on an annual basis, so with Cropto Agricultural Tokens, investors can easily allocate some of their investment baskets to agricultural products that increase on an annual basis.
Regards,
Cemil Şinasi Türün
Chairman of Advisory Board
Cropto - Trademark of AgriFintech Finansal Teknolojiler A.Ş.