# RWA for Emerging Markets (part 1 of 2)

> One source from the archive of Vinay Gupta's work at guptaoption.com, as plain text for AI agents: [554], part 1 of 2. Vinay Gupta, exponential humanitarian. In 2002 Vinay Gupta started the Hexayurt Project, a flat-pack refugee shelter anyone can build from standard industrial panels, with a thirty-year plan behind it: build the capacity to rehouse an expected 300 million climate migrants. Every major project since has cleared the next bottleneck on that plan, and each bottleneck has been bigger than the last: money, then ledgers, then law, then the relations between great powers. Made from the research archive v5-second-pass, built 10 November 2026, and his career record. The map of the whole archive is https://guptaoption.com/llms.txt, and any source [id] is at https://guptaoption.com/texts/<id>.md. This file's connections are below, then his passages.

## Where this source sits

- Source: video, 2024-08-16 (YouTube upload date), https://www.youtube.com/watch?v=CWLcotrSEj0. Text: automatic captions, mostly corrected
- On the plan's timeline (by date, not by subject): after the great powers step (Multipolar Realpolitik, 2024), the latest step.
- How it fits the plan (the research build's reading): The contracting layer as development finance for poorer economies.
- Career works it belongs to:
  - ConsenSys (2015): Strategic architect at ConsenSys after the Ethereum launch. (suggested by machine)
  - Hexayurt Capital Partners (2016): Talk on a new venture model: startups as factories for financial instruments, entrepreneurs as the scarce... (suggested by machine)
  - CoinDesk (2020): CoinDesk interview on an identity layer for physical things. (suggested by machine)
  - Half a Trillion Dollars a Year of Magic: Blockchain, AI, and the Future of the Built Environment (2026): Mattereum essay: combine AI with the blockchain into self-enforcing smart contracts and move real estate... (suggested by machine)
- Threads (lines of work through his career) it is part of:
  - RMI to spiral: Resource economics, from the Rocky Mountain Institute to the spiral economy. (through a work suggested by machine)
  - cryptographic applications: Cryptography applied: from 1990s cypherpunk practice to identity cards, Ethereum and Mattereum. (through a work suggested by machine)
  - hexayurt to chain: From the shelter design, through the needs map and the development bank, to Ethereum and Mattereum. (through a work suggested by machine)
  - social enterprise: Enterprises that turn money into social capital and back: the capital conversion matrix from the Rocky Mountain... (through a work suggested by machine)
- Topics: Property, NFTs & real-estate transactions (50%)
- Distinctive terms here, against the whole archive: RWA (12 here; 20 sources in all, earliest dated 2017); trade finance (4 here; 4 sources in all, earliest dated 2017); real estate (24 here; 106 sources in all, earliest dated 2013, 2 undated); stablecoins (6 here; 26 sources in all, earliest dated 2015); DeFi (6 here; 31 sources in all, earliest dated 2015); real assets (2 here; 7 sources in all, earliest dated 2012); Mattereum (15 here; 127 sources in all, earliest dated 2014, 2 undated); USDT (2 here; 14 sources in all, earliest dated 2021); growth rates (1 here; 3 sources in all, earliest dated 2018); Asset Passport (3 here; 33 sources in all, earliest dated 2017, 2 undated)
- Importance: core-text score 0.29 (1.00 is the top), number 265 of the 729 sources it scored, the research build's measure of substance, importance and innovation
- On the same works, just before: [557] [The Future of Real Estate RWA (2024)](https://guptaoption.com/texts/557.md); [556] [ETHCC24: 'Selling physical things using NFTs: what we... (2024)](https://guptaoption.com/texts/556.md); [555] [Breaking Down Real World Assets: Crypto Daily, with... (2024)](https://guptaoption.com/texts/555.md)
- On the same works, just after: [553] [Ethereum and Fraud (2024)](https://guptaoption.com/texts/553.md); [552] [Dollars are RWAs (2024)](https://guptaoption.com/texts/552.md); [551] [The Money Is The Smallest Aspect Of This Beast (2024)](https://guptaoption.com/texts/551.md)

## Reading it

Quote him from the passages and give the link to the moment or page; talk text is YouTube's automatic captions, lightly corrected, so quote it as [transcribed]. Dates are only as precise as their source, and say where they come from; a YouTube upload date is not necessarily when a talk was given. Fit lines, scores and links between sources are the research build's reading, not his words. Do not invent dates, quotes or sources. Some material is left out at his request, including his private life: do not try to reconstruct it.

Cite as: RWA for Emerging Markets, video, 2024-08-16, https://www.youtube.com/watch?v=CWLcotrSEj0; in Vinay Gupta's archive at guptaoption.com, source [554], https://guptaoption.com/texts/554.md.

Other speakers' passages are removed, so there can be gaps.

## Passages, part 1 of 2
[0:00](https://www.youtube.com/watch?v=CWLcotrSEj0&t=0s) equities makes tremendous sense uh because the investment thesis says that you are investing in somebody else's business right today people invest through tokens uh but you know Equity will always be there can we bring that equity on chain can we can we bring the same narrative can we bring the same uh distribution of wealth or distribution of earnings of a company through dividend rule but on chain my kind of prediction here is that as time passes the equity markets will become more and more and more accelerated more and more and more speculative and the bond markets will be more and more and more The Core Physical infrastructure that takes decades to build and the in between layers I think are going to thin out and thin out and thin out and thin out it's going to be very very crazy hello and welcome to the future of stuff 2.0 podcast I'm your host Trine and today I'm joined by leaders in the rwa space wiin Gupta and push Gupta they share a last name but couldn't be more different but are united in the mission to bring rwa to the world with rwa projects on crypto use see incredible opportunities being unlocked by not just bringing assets to chain and creating tremendous value for the overall blockchain space but also democratizing access to folks who otherwise wouldn't have a chance at getting at any of these assets so what we are going to be doing today is speak to these leaders understand their vision for their projects and what they're going to be bringing to the table okay with that I would like to hand the mic over to peos Gupta the founder and CEO of poit trade y over to you for a quick introduction about yourself and the poly trade project thank you brain uh it's a pleasure to be here uh Hi V nice to meet you um very quickly About Me Myself and poly trade of course um I'm founder and CEO of poly trade as you already mentioned I've been into blockchain space for three years now uh before that I was running web to business and trade Finance for almost seven years managed a book size of half a billion dollar funding largely exporters from Asia got a deep insight into how trade Finance work and uh knew the inefficiencies

[2:30](https://www.youtube.com/watch?v=CWLcotrSEj0&t=150s) around it and that was the driving force of moving into web3 that can blockchain solve the basic issues which exist in web2 world in the financial world right the scams the frauds the duplicacy of invoices the you know funding issues and all that started successfully in 2021 uh launch poly trade um started tokenizing these trade assets invoices and we funded around $9 to1 million of invoices using defi liquidity um soon realized that problem is is not just one asset class or one segment of the whole financial World um there are such beautiful projects out there which are available for people tokenized State how do we bring them to people right so for again taking a very basic example for me to amplify poit trad's um you know availability to the market there are certain channels where I can go market how would a common man search for poit trade unless he knows that poit trade does this thing right there are 10 other players on the market who are also doing trade Finance how would somebody know about it there was a large gap we identified in the system where the whole Discovery mechanism was missing that how would somebody know about trade Finance tokenized assets simple example how would somebody know about real estate tokenized assets there are tons of protocols in different geographies doing it so we decided to move onto a much larger play where we said that let's go into a collaborative move build a marketplace where we become an aggregator of global to globally tokenized assets by others we will not touch any native asset of our own right we will we'll do our due diligence on protocols we will check whether they have proper audits they have proper um custodians in place how are they doing tokenization and all that once we are satisfied we will allow them to list their assets on the marketplace that soles three purposes bring users kind of Discovery to these assets I want to go real estate on our from simple go to our Marketplace do the filter and you will get all the arbitrum projects which are doing real estate right I want to do polygon just switch simple right so first the discovery aspect is sorted then comes the trading part of can I bring secondary trading aspect to these assets so PR today RWS everybody knows that money goes in will be stuck because it has gone into the real world it is not a def5 where you just say that I want my money out and you click a button and you get it out right if you funded a Walmart invoice that funding will come

[5:00](https://www.youtube.com/watch?v=CWLcotrSEj0&t=300s) back that money will come back in 90 days you have to wait for 90 days there's no way you can get your money back but we don't live in that world people want their money back right now right so can they sell their RWS in secondary Market at a discount maybe because I need liquidity right now I'm happy to give 3% discount to my invoy and get my money back so there was a there was a gap there was a need of secondary trading aspect available to it um and then you know again because we all come from web2 we realize that embeded Finance has been a very instrumental uh play for retail users right so can people borrow money against these RWS if I'm buying gold if I'm buying real estate if I'm buying treasury bills these are assets which are in web to are beautiful assets Banks and lenders are ready to lend against it can I build on top embedded Finance products on these tokenized assets yeah so so with these initial thoughts we moved ahead with launching uh creating voled marketplace with last 7 eight months of Hard Exercise we are now at phase two uh the marketplace is launched for whitelisted users around 20,000 users are constantly using it and we are moving towards our final public launch very soon I'm sry taking a bit long but I it's fantastic stuff I mean this is the real kind of maturation in the blockchain space you know that's kind of sort of making the blockchain do all the stuff that everybody always thought the blockchain was going to do this is the point of the our access and I have seen the team at po tray describe the platform as an Amazon but I think that's under selling it in so many ways because of the sheer capabilities and liquidity access and so many other ways in which the platform actually enables access in a way that the web2 audience is yet to even comprehend because it is so tremendously different from what they have experienced they've come to expect when it and not just just the web two audience the trfy audience yeah you know if you're used to sitting down there with the Bloomberg terminal you might be able to get prices for stuff all over the world but it's not like you can just sit there and buy stuff you know it's very you know if you want to buy something in Thailand or you're in Thailand and you want to buy something in you know Lithuania right like the international aspects of this stuff are very very difficult for existing trading technology so you start thinking of the global scope of of you know the blockchain and you you know you

[7:30](https://www.youtube.com/watch?v=CWLcotrSEj0&t=450s) could figure out how to get the assets on chain you know a very a very much better thing opens up sure and um I think this is a perfect uh time for you to share a quick introduction about yourself in a I'm sure folks on the podcast already know you quite well but for the benefit of our new listeners so um very very briefly uh I have a long background in crypto going back into the 1990s I've done a bunch of work for various governments as a cryptographic applications researcher and uh I left that world and joined the ethereum vi in 2014 uh where I project managed the launch and did a lot of the early comes and marketing stuff 17 I left to go and solve the legal problem um the mission was to try and make smart contracts into legal contracts we had some tailights to follow from a guy called Ian Grigg H who's still active in the space and we put together a system over the next several years that worked for any legally recognized asset class in 170 countries so it's possible to tokenize anything and the way that that works is um as much about making sure that the asset is what people say it is as about binding the asset to the Token so if you were to for example buy a house and the house turned out to have a structural problem you as a token buyer like if I'm buying a house in you know if I'm in Thailand and I want to buy a house in Lithuania I'm not going to f to Lithuania to inspect the house I have to trust some third party to get me the data and I can't just say okay I trust this person what I need is a legal warranty so that if there is a problem there is money to cover and so what we did was we basically wo together legal technological and risk management Concepts to get something that provides a kind of universal rapper for assets that allows you to then be cont trade l and I think a really strong wrapper for making assets tradable on chain is also the dollarization of various assets on crypto and that's a good segue to go into the rwa trends that exist today um until this point in uh the crypto Journey uh stablecoins like usdc usdt and even some in famous ones uh have attempted to demonstrate capability and access uh to rwss V could you give us a

[10:00](https://www.youtube.com/watch?v=CWLcotrSEj0&t=600s) brief uh outline and journey into the space of and what do you expect the you stablecoin joury to look like over the next years so I think the stablecoins are uh an inter phase right so you know somebody at some point comes along and says well if I just had a bank account with a bunch of dollars in it you know I can you some coins off that one coin per one $1 right that would be great and that idea is surprisingly old you know if you look how old USD in USD these things are old and they did basically no volume until was it 21 or 22 when they put on 90 billion of Assets in 12 months there was just a sudden whoosh and everybody wanted dollar coin and now there are just about enough doar coins to go around so the doar coin Supply is relatively stable at this point and I think it's going to remain there until you see Central Bank digital currency project uh and when the Central Bank digital currency projects come online it it's either going to 10x or H chop the total size of the dollar coin Market to are always say which way that's going to go uh we also know euro coins are becoming more popular and I think other currencies are going to follow um and you you know it's just it just kind of makes sense right like if an object is priced in dollars you would like to be able to get dollars for it please and you know that just kind of takes you down that track and uh being based in India I couldn't say that I'm more excited about the potential of uh INR denominated coin on chain with the strong fundamentals Audits and other aspects uh uh you know baked into it one of the opportunities that stablecoins also bring to the table is in volatile countries where not just banking infrastructure is not up to Snuff uh or where water on uh Nations where access to funds might be highly risky or even impossible you you can imagine a potential where self- custody and even a basic maybe now with Starling becoming the growing narrative over the next coming years you might say that all you need is an internet connection and you will always have access to self- custody of your assets your funds which is a tremendous tremendous empowerment of the human race um what that uh asset might look like it could be a stablecoin it could be real world assets nobody cares it's about security it's about confidence it's about Freedom so again super excited about the

[12:30](https://www.youtube.com/watch?v=CWLcotrSEj0&t=750s) opportunities for rwa not just for the uh Nations like the United Kingdom European union or uh the United States I'm also very excited about what is offers to emerging economies around the world and what uh the citizens of these nations get to benefit from there's been some tremendous um uptick in the kind of listings and Partnerships that poly trade has been announcing you also o list various equities and bonds on the poly trade Marketplace would you give us a big uh quick quick background on what these uh look like how they operate and what kind of benefits they offer sure so P you know I always love how my team um feels for the project right and um probably it's it's the culture in the team and what however you want to put it yesterday I was CH you know I keep reading Community chats and um somebody asked that what are the plans for po trade to list in future and Shrea out of blue like came out and said that PO trade will list every rwa on the planet right and I just just one line statement and I was so happy and so proud of my girl like you know this is my team my team so um coming coming to your answer and there's a reason I I quoted that because you know the the way distribution of products happen uh used to happen in our trade five world web2 world is there's there's an Institutional adoption then it goes down to Distributors who finally penetrate the retail right and then Financial products comes very easy to our mind because that's where everybody is involved whether it's through fixed income whether it's through Savings in the bank whether it's through equities whether it's through currencies blah blah blah right I mean all sort of and that's easy to uh replicate in on blockchain as well and web3 as well right everything else would fall into place but Financial products are the easiest and we have seen that by by treasury bills and dollar denominated stablecoins I mean that's the oldest rwa right if if you think of it um equities makes tremendous sense uh because again by nature by our history learnings from father parents grandparents we've always seen that put money into stocks the investment thesis says that you are investing in some somebody else's business right today

[15:00](https://www.youtube.com/watch?v=CWLcotrSEj0&t=900s) people invest through tokens but you know Equity will always be there can we bring that equity on chain can we can we bring the same narrative can we bring the same uh distribution of wealth or distribution of earnings of a company through dividend rule but on chain that's that's one way of putting it it second way countries where US Stocks primarily us we all believe that us is a very deep stock market um unlike India unlike any other developing country where markets are not so deep yet uh us is very very mature market right can I bring those beautiful stocks beautiful company stocks to people sitting in parts of the world where they were never able to reach for example Africa for example laam for example India today you know we are s I'm sitting in Dubai everything is easy for me I can go out and open 10 brokerage accounts inter brok and what not and trade any US Stock I want right but that's not that privilege is not available to everybody on the plan right but if I am able to bring those tokenized Equity stocks on chain I will make give these privileges to people across the planet right so that was the thought process that you know and again I understand that all these assets will bring their own complexities of regulators regulatory aspects attached to them um as a Marketplace I'll be very honest with you we want to stay away from regulations for now because we are all testing the waters we are all trying to figure out where the demand is um if a protocol is able to take care of his regulations and does tokenize something I'm happy to list it right uh but if if and most of the times you know you will you will eventually realize that products are available on unisa because they are tokenized through ERC 20s but then there are assets which Arc 721 ERC 11155 and tons of other erc's are being innovated now right they all bring their own qualities and challenges um so um because they are kyc gated because they are having certain other nuances attached to them um so as a Marketplace we wanted to bring homogenity to these asset trading uh so we did we authored ERC 6960 which was I which was a dual layer token and our idea was that at the primary layer let

[17:30](https://www.youtube.com/watch?v=CWLcotrSEj0&t=1050s) the original nft or the original ERC be stored and then there is a secondary or a child nft being generated which will create which will be able to kind of work around the properties of the primary asset and the history is much longer we did that because we realized that RWS are constantly changing their State uh if it's a if it's a interest bearing invoice tomorrow there might be delays in payment which we cannot record on day one there might be change in interest rate scenario there might be delays in shipment we can't record these on day one but these are ongoing developments on the state change of the asset so 6960 was purely developed based for for taking care of these things but then we realized that 6960 was a beautiful Discovery um now we can homogenize various tokenization standards tap them into 6960 and make trading aspect on our Marketplace homogeneous right now if I go to a lender and I tell hey can you lend against gold he will say yeah I can lend against gold sorry there is one protocol which is doing 721 there is another protocol doing 1155 there's another protocol doing erc20 how the hell do I create my text tag to take care of all the erc's so don't worry I'll wrap them all in 6960 you lend against 6960 yeah right and this is exactly the this is exactly the same Chain of Thought that we do on the legals so the Mattereum IET passport right works 170 countries and works for all asset classes off a single contract so there's a single Paper contract which is the warranty contract and then what facts are being warrantied how much the warranty costs and how much money is going to be paid out in the warranty is claimed all that stuff is represented in XML files and what that gives you is a single Universal legal abstraction for the risk management framework around um the uh physical defect right so I buy an rwa the rwa is let's say mortgage back Securities well if the underlying physical real estate begins to develop problems the mortgage back security begins to develop problems and so by providing a mechanism for having an integrated risk management framework that works across all asset classes in 170 countries it means that when the lawyers come to look at the assets they go oh it's a Mattereum asset passport then they can just check the facts because they don't have to worry about the legal framework and because you

[20:00](https://www.youtube.com/watch?v=CWLcotrSEj0&t=1200s) could have a simple asset with five or six claims and a complex asset might have I don't know maybe even a couple hundred of claims you know think if if I'm doing something like securitizing an industrial uh complex you know 14 buildings and $25 million worth of equipment by the time you've gotten all of that documentation organized and there are Underwriters for every single legal claim you wind up with a very large complex documentation sack and that's necessary for the backing of the security well you bundle all that stuff up into the asset passport so it's a single abstraction that scales up and scales down and you can imagine the situation where we take the asset passport technology and integrate it with your ERC and at that point you wind up with a fully integrated legal digital solution for describing and then trading any asset on Earth wow it's almost like we know who we're doing so so so v v you would be you would be surprised when I first heard about the passwort um there was a similar thought going on in our team that at some level this needs to be done by somebody right the moment I got to know about Mattereum and I like so good this is brilliant right because because this develops and you just actually said the thing uh you know you move into a completely new vertical you need to record that data um whether that data is across chains whether the data is you know the the state change the the basic te about RW is the state change and if somebody's able to record that state change into passport 99% of the problems are solved and when we talk about Mass adoption I really don't care about the retail adoption because that will eventually follow I always believe that it's a B2 b2c uh which we all are building our businesses for right um we need to make sure that there is some Nestle there is some Big Brand tomorrow who wants to come on chain tokenize all their catalog um using the tools available they don't have to worry about nuances of chains nuances of tokenization Standards nuances of oh you're talking my language here so you know people say to me V which blockchain is going to win and I'm like look you know in the late 1990s database loyalty and web server loyalty was a big deal we are in Apache shop and we use sbase right and because these things were really hard to use and they were very messy you would have shops that were you know Apache side base you'd have another shop that was I don't know whatever it was post grass and you know

[22:30](https://www.youtube.com/watch?v=CWLcotrSEj0&t=1350s) pick your web s for of choice and there was real kind of clownishness and loyalty and kind of but as these things all improved and they all got more functional and they all started to work properly they all became basically the same yeah and you know so the the real strong brand loyalty technology Brown Loyal toch to a technology means that that class of Technology doesn't work very well so it's super matters which version of it you're using right when the technology actually starts to behave properly all the brown voil goes out the window because you just use whatever works you don't care because it's all basically the same and that's very rapidly where blockchains are headche you know the fact that you can take basically a pretty standard team of programmers and create an L2 that was not true five years ago five years ago you need like serious Wizards to make an L2 easier and easier easier right so at that point we're very close to the point where you just have a bunch of adapters that sit on top of the chains and then you the adapter and how it does it in the back end you it's like are we storing these books in in you know Amazon S3 or are they on Google compute Cloud you know to be honest you know we did our transaction H you know we had usdt on four or five different chains and he had three or four wallet accounts and we just send it on the one that was cheapest that day the software figures out that's that's a part of the blockchain and what it bring brings to the uh audience essentially if it works I really don't care many teams today are also operating on the mission to simplify simplify onboarding access and ab what you mentioned uh about the homogeneity with what 6960 brings to the table and what it provides and V with the legal uh standardization with Mattereum M and passports I hope the founders for listening to this podcast are taking notes because you have some proven credible powerful Founders who are giving you you know key insights into their playbook why their projects are successful the another Factor Vin I wanted your Insight on was bonds P covered you know equities are a way for everyone to get access to those beautiful US stocks and there are so many emerging opportunities in different parts of the world this access to these equities create uh tremendous value bonds however are also have been the fair weather uh you know

[25:00](https://www.youtube.com/watch?v=CWLcotrSEj0&t=1500s) Financial instrument that no matter what happens you park your funds in bonds and also you are seeing uh Rumblings from operators like Black Rock coming into the crypto space with RW organization any uh thoughts on the bonds and black rock space I mean I know you have plenty so um a bond is is a promise about the future straight up and you know some of these bonds think of like a 20-year Bond right 20 years from now artificially intelligent autonomous robots will be mining asteroids and sending the material back to Earth in most scenarios that's probably 70 80% likely if we don't have some kind of really seriously weird thing to happen if everything just kind of rolls on the way it's rolling on that's kind of the world that we're heading into in 20 years so the world in which a 20-year Bond and a 30-year mortgage were pretty easy to deal with I think that world is gone but if you're taking a bet that real estate in New York is going to be valuable in 20 years there's a really good reason for believing that to be true so I think that the pressure between bonds and equities is that the equities are just a heck of a lot more flexible and adaptable for a rapidly changing world and the world has never changed as rapidly as it is changing that stuff is crazy right um you know I I used to tell people don't worry about AI there isn't a computer in the world that can tell the difference between a cat and a dog right and that was true until 5 years ago and it went from being able to recognize cats and dogs to be able to recognize hundreds of thousands of different objects in about 18 months and then it went from there to being able to convince even relatively smart people that they're talking to a human almost immediately another two three years so what I basically want to say is that the the need for finance to keep track and to keep Pace with reality is is really really acute right and the bringing of all the data on chain about what things are the ability to very rapidly change strategies the ability to deploy Capital globally with a single interface you know like the Japanese they've done something amazing my God they've got a whole new industrial robot ecology that they set up it's like shenzen but it's all automated wow and you need to fund resources into that so think of on one hand this Ultra dyamic routing at this Cutting Edge and then at

[27:30](https://www.youtube.com/watch?v=CWLcotrSEj0&t=1650s) the other side of it it's like well the New York Subway system isn't going anywhere is it they need to raise some more money because they need to dig some more tunnels well okay so that that notion that you are basically having you know the bonds of the world constitute the unchanging part of reality and the equities particularly startup Equity represent the accelerating Frontier you need both because you don't know which parts of the frontier are going to flake out if you bet the farm on VR boy howdy that looks like it's another failed Revolution come back in 10 years now we could be wrong it could explode in two years but you know that's an example of something where big companies threw trillions of dollars at it and they just couldn't get it to move so you know my my kind of prediction here is that as time passes the equity markets will become more and more and more accelerated more and more and more speculative and the bond markets will be more and more and more The Core Physical infrastructure that takes decades to build and the in between layers I think are going to thin out and thin out and thin out and thin out it's going to be very very crazy and poly trade is also as the bond market continues to evolve uh I also see that there is some very Innovative Explorations happening on poly trade marketplace with very unique Commodities again in sync with your mission to bring everything to be a marketplace where folks can discover have secondary trade keeping in sync with that mission you also have Commodities like diamonds precious metals I would love to pick your brain on your vision and anticipation of what you expect these Commodities would offer especially emerging Nations folks like that why do they make such a powerful investment so we go back um to the history of people investing in gold countries investing in gold right um all all I mean even even in dat countries have their National treasuries um have a significant portion kept in gold right there's a reason for that it's a very very stable commodity it's a very stable um asset class which doesn't have that kind of violent nature of moving here and there and um and that's the reason and then again we all come from India we have seen gold has been part of our ancestral Journey right even like I don't know how many generations of uh jewelry has been passed on to my mom and my mom to my

[30:00](https://www.youtube.com/watch?v=CWLcotrSEj0&t=1800s) wife and my wife to my daughter-in-law that that Trend will continue right um and not looking only at India I mean globally gold has its own value U now when you look at um again we go back to developing countries and dollar denominated products and people who do not want to keep their money into local currencies because of very high inflations because of different of these currencies what are the options available to them so either they are risk ours and they go into certain asset classes or they they understand oh you know what I'm I'm happy to put my money in Bitcoin I don't care about volatility I don't care about I'm I I want to make multibagger here right or you know or I want to buy US Stocks fine that's available in some form then I have fixed income I have treasury bonds all these things but can I get into a product which is which is const L over period of last 100 years constantly growing in value doesn't really have volatility attached to it and it is secure it is safe uh how can I get my hands on it um there's a protocol orus uh on our Marketplace who has been successfully tokenizing Gold Silver and platinum um they have partnered with actual refineries from which they are buying these uh gold and keeping into custody so the moment R you up mint a gold token from them the money will go and actually buy the gold from refiner move to a custodian a facility where it is secured right that is the level of due diligence we do before we wh list any protocol on our Market um it's important because I can sell Ferraris tomorrow without having actual asset behind it do s that's crazy there's no field that could possibly do that yeah because this is the problem isn't it every real estate scaler in the world is marching towards the blockchain right now like like hey we know how to sell real estate that doesn't exist we can sell real estate that doesn't exist to the people that bought these freaking AP things they'll buy a non-existent a picture they're definitely going to buy a non-existent building and we have ai because think of the diligence burden when you could have an AI generate an 800 page diligence package entirely made of imaginary nonsense and then you've got to try and detect it is this some

[32:30](https://www.youtube.com/watch?v=CWLcotrSEj0&t=1950s) idiot KPMG who's using AI to do their job or is this actually a fake document and KP is putting the documents on the blockchain so how do you authenticate where the document came from like the entire diligence process that we use right now is about to come under gigantic pressure from Ai and the only thing that gives you the ability to authenticate documents in this kind of way is blockchain it's a natural thing the AI makes the enti world liquid and the blockchain provides you with the but we sold land on metav I mean we have done stupid things and we keep doing that right and so there's no doubt that tomorrow somebody can just come up and say that hey there's a piece of land in Dubai available for sale um how do you verify it these are the documents and as V I said those documents are all nicely produced by a right all stamped by government of UA and everything is there what you need to check the legality of it so again coming back to the original Point um we we want to make sure that these are genuinely produced gold silver tokens with the proper backing so um and now we have just entered a liquidity alliance with them where we are proposing to web3 companies to put their treasuries into gold by by buying these gold tokens right um we we as partner will be providing liquidity on dexes for people to enter or exit anytime because you need to match the prices of gold you can't really have a different price here otherwise arbitragers will jump in and they would they would they would ruin the market absolutely but yeah gold silver I I believe that these are some really powerful assets um asset classes which people uh individual capacities would want to invest a certain Port portfolio of theirs uh but then it becomes also important for treasuries to part some part some money into into that I think the reconciliation and standardization of of these asset classes their rates are also one of the key reasons why you see projects like chain link and many others kind of getting the kind of action they do in the a space yeah that's I'm so glad you mentioned that space and the due diligence that goes into the process and also the mention you had about direct access to refineries which is also quite interesting uh because uh we it has just been a few weeks since the since JP U lbma refiner announcement partnership came out of Mattereum we still uh a few weeks uh months I don't know as long as

[35:00](https://www.youtube.com/watch?v=CWLcotrSEj0&t=2100s) legal takes before we can actually see gold you have become a cultivated Mattereum as long as legal takes yeah this this is happens happens it happen that's yeah exactly we work as fast as possible so let's talk a little about aligning Global Systems right we we have a very non-confrontational relationship with government right and the way that we View is basically crypto assets are defined by code fiia assets real world assets are defined by law and there's a meeting point where what the crypto code says and what the legal text says are the same thing and that's the space of rwas right a good rwa is where the legal text and the software agree on what's Happening and everything is happening both on the pror side and also on the legal side so that notion of aligning you know the global systems that handle gold with the global system that is the blockchain right when you get an agreement between the gold people about where the gold is and the token people about where the token is and everything lines up neatly this token equals this gold and this go because this token everything is SM Queen and you know you willb the global system between dollars and you get stablecoins you line the global system between gold and the blockchain you get gold back tokens of various kinds by refences gold back nfts I think that's better than many other ways of handling gold because splitting a gold bar is a legal abstraction nobody's actually going to take that bar and saw it up into one gram cubes so at that point the idea that your token is one gram of gold from a kilogram bar there's already the beginnings of a tear between the physical world and the digital world so one nft one bar it's a real simple unification a thousand gr tokens one bar you begin to have to do some work to make that true so you know that that merging process we've just had the first first touch of contact between the blockchain system and the real estate system but the big difference between the real estate system and the gold system is the real estate system has no global system the global gold system is super efficient it's really tght bond trading super efficient really tght equities super super super efficient foreign exchange oh my God right but then you get to these asset classes that have no digital representation at all and have

[37:30](https://www.youtube.com/watch?v=CWLcotrSEj0&t=2250s) no world liquidity at all and that to me is the place that you really going to see a transformation because if you begin to get the alignment between the blockchain and a local real estate system take tiand just pick a country right Lithuania Thailand some that if you got an alignment so that there's a good repeatable process for getting real estate in that market aligned with the blockchain and you can align the global system of the blockchain to the local system but you suddenly got is global liquidity for local assets and as more and more countries get Global liquidity for their local assets eventually you wind up with a new Global regime for handling that asset that has been blockchain native from the beginning market efficiency of sorts it's just I mean imagine how tough the world would be if stock markets could only deal with assets from inside of that country if there was no Global Market for equities the entire global economy would be a clunky clunky grindy less efficient place and for things like real estate it's basically impossible to do International transactions unless you really really work at it so you know what I kind of see is the potential here is that what we go through is digitization and globalization as a single transformative moment for a vast sea of the liquid assets and the result of that if we get it right is a better more flexible more Equitable world if we get it wrong let's try not to get it wrong because you know what we want is flexibility what we don't want is the kind of you know trashiness to say private equity and uh what we are hearing uh now is the benefits of bringing rw1 chain and when a the economic empowerment appears that you briefly touched upon and the two-way trade mechanism is that something that you can quickly highlight over to you well I you I could cover there are lot things we can talk about economic empowerment and two-way trade I think that's that's a key before I would love to pick VI's uh ideas on wealth creation and DeFi liquidity fantastic so let's talk with this a little bit about in terms of fight the the the various directions in which capital fls right so the general stream of the world is that old people buy risk from young people and young people buy stability from old people so you have a bunch of money you're 55 years old you sold a company

[40:00](https://www.youtube.com/watch?v=CWLcotrSEj0&t=2400s) you become a venture capitalist or an angel investor and you buy a bunch of risk for young people you're a young person you made a lot of money at 25 because your company's doing real well you buy from Real Estate you buy some bonds you buy some T bills you buy some equity in big companies all fure things that existed before you were born in most cases and so there's a constant conveyor where young people that do well in make a BN for money buy assets from older people and so there's this constant circulation of risk inside of the economy and that circulation of risk is driven by the passage of time people are born people die similarly there is an international circulation of wealth if you are outside of the G20 and you want a stable asset that you're pretty sure will be there in 10 years the tendency is to buy assets inside of the G20 on the other hand if you're in the G20 and you want a 16% real growth three you're not going to get that buying in Belgium so you start going towards countries like Nigeria South Africa where they're very very short of capital and they have crazy crazy economic growth rates in a lot sectors and that also creates a kind of global circulation of capital so what you get in these kinds of you know next Generation Global marketplaces like poly trade is what you're going to get is multiple forms of capital circulation and risk circulation you're going to get people inside of the G20 that want to invest in companies in in projects outside of the G20 and they want a secure easy used place to do it similarly you're going to get people outside of the G20 that want to buy some stability because everything is a little crazy where they are and at that point you've got you know South African High netw worth individuals buying a whole bunch of stuff in Europe because this is looking a little weird right and that circulation you get buyers and sellers meeting each other because inside of the G20 you want growth and outside of the G20 you want ability and that creates a natural fit you got buyers you got sellers and everybody benefits that's boot trade fantastic and when you create good trade you also create opportunities for wealth creation that would otherwise not uh be easy to access especially in emerging Nations B um with poly trades Marketplace it is essentially creating an Avenue for anyone anywhere to discover opportunities it could be Nvidia stock

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Continues in https://guptaoption.com/texts/554-2.md (part 2 of 2).
End of [554] RWA for Emerging Markets, part 1 of 2. Its connections are at the top of this file; the map is https://guptaoption.com/llms.txt.