Your First Captivating Topic of the Week

🚗 Toyota Offers Tokenized Bond to Retail

Although the vast majority of bonds STM tracks ($30+ billion worth) are issued and invested into by institutions, there are plenty of non-institutional bonds out there and this is one of them.

Toyota (yes the car company) is offering Japanese retail investors the opportunity to participate in their bond.

Toyota Finance will be issuing it out of MUFG’s Progmat platform and their Toyota Wallet app will also offer a 1% cash bonus! That said, according to Ledger Insights it’s a small offering compared to others at 1 billion Yen ($6.6M) which isn’t too surprising however it’s nice that the minimum is also small at 100,000 Yen ($658).

Who else is involved? Let’s take a look under the hood!

Underwriter: Daiwa Securities
Bond Administrator: MUFG
Bond Registry Administrator: MUFG Trust

It’s great to see more retail investor bond issuances, especially from a household name! STM will do its best to track the bond’s performance on STM.Co but in the meantime go check out the rest of them!

This is not financial advice.

RWA Foundation

Have you joined the RWA Foundation yet? 

Incubated by Security Token Market, the Real World Assets (RWA) Foundation is a crypto native organization dedicated to bridging crypto natives and tokenized assets. The leading brands in the tokenization and RWA industry contribute support in order for the RWA Foundation to develop educational resources, media, events, grant programs, and crypto-focused initiatives to carry out its mission.

Follow on X, join the Telegram, and stay updated on all things about the Foundation, RWA Industry, our upcoming DAO launch, and a whole lot more. TRUNKS UP 🐘 !

Your Second Captivating Topic of the Week

🏡 Vesta Equity and ProvLabs Partner on Home Equity Investments

The tokenization industry always pointed to real estate in its early days as a use case for the technology. This is still true today and while there has been a lot of real estate tokenized ($5.6 billion), there’s a whole lot more including $24 billion in pipeline as of December 2024.

As you’d read in our report, there is a lot of opportunity within the asset class to bring on-chain aside from just fractional ownership of a rental property or commercial real estate (although those are great too!). For example, there are home equity lines of credit (HELOCs), mortgages, reverse mortgages, and more which all have their tokenization use cases.

Vesta Equity is tapping into the Home Equity Investments (HEI) segment where investors can buy equity in an occupied home. Unlike the traditional debt-based options homeowners have to capitalize on the equity they’ve accrued in their house, this allows them to essentially sell it to investors - all on-chain and in this case Provenance Blockchain through ProvLabs.

If the homeowner is selling equity, can they buy it back? Of course! This is where investors get their investment back + some profit (assuming appreciation of the home). According to ProvLabs’ press release there are $30 trillion in home equity that held by homeowners… and that’s just in America.

Like I said, plenty of opportunity to bring assets on-chain.

This is not financial advice.

Companies of the Week

Company of the Week - Herwig: Ondo
Company of the Week - Kyle: UBS

Find out why and more every Friday live around 2pm EST on LinkedIn or X/ Twitter. Past episodes available on Youtube or your favorite podcast platform! 

TokenizeThis 2025

Security Token Market’s annual industry conference will be back next year and moving from Miami to the heart of finance in the big apple. Featuring keynotes, speakers, panels, and demos, TokenizeThis aims to be the largest premiere event dedicated to real world assets exclusively.

Last year’s edition of TokenizeThis featured incredible speakers like Carlos Domingo, CEO of Securitize, Ex-SEC Commissioner Troy Paredes, and Anthony Bassili, the head of tokenization at Coinbase, alongside many other speakers from the likes of JPM Onyx-turned-Kinexys, DTCC, Franklin Templeton, Northern Trust, RealT, Propy, Maple, Avalanche, Stellar, Solana, Polygon, and many others. Tickets and the speaker line up will be announced soon so be sure that you’re signed up for the waitlist on summit.stm.co.

Reports

(NEW) STM’s RWA Market Prediction for 2030

Security Token Market (STM.Co) is proud to release a thorough report on our prediction on the tokenized real world asset market growth. This report explores the variety of opportunities within each asset class to capture value on-chain.

Tokenization can be applied to just about any object and asset type. Art, carbon credits, life insurance, and other sub $5 trillion asset classes weren’t even considered in estimates.

In order for STM to derive its 2030 market predictions, the following asset classes were evaluated: currency, M2/M3, real estate, commodities, public equities, private companies and funds, bonds, credit and lending markets.

State of the Tokenization Industry 2024 Report

We are very excited to publish our State of the Tokenization Industry 2024 report tomorrow with our sponsor SteelWave Digital! The Security Token Market team covers this year’s headlines and key takeaways, sorted into the following categories:

Search away, share it with a colleague, and revisit the same link for future updates!

TokenizeThis 2024: Highlights and Key Takeaways Report

The TokenizeThis 2024 Conference Highlights Report is Now Available! This was the industry’s event of the year with 500+ registered attendees, 40+ speakers, and 20 sessions & side events in Miami, FL!

There was so much to do you may have missed some panels but not to worry, the STM Team has put together a summary of it all just for you.

This is not financial or investment advice.