Figure Heloc Drives RWA Sector Rally Amid Meme Coin Selloff

The cryptocurrency market saw significant gains in the Real World Assets (RWA) sector on Monday, with a 50% rally. According to CoinGecko, the RWA market cap reached $71.02 billion, a gain of 48.7% in 24 hours. This growth was largely driven by Figure Heloc, which accounts for almost all of the sector's increase.

Figure Heloc is a tokenized pool of home equity credit lines issued by Nevada-based lender Figure on its own Provenance blockchain. The scale of this token is striking, with its value exceeding $22.81 billion, roughly two and a half times the company itself. However, these tokens barely move, with only 0.065% of their value traded in 24 hours.

Contrastingly, meme coins fell 2.2% over the same day, while tokenized stocks saw a modest gain in crypto rally. Tokenized equities are valued at $8.25 billion, roughly a third of the jump they are credited with causing. These tokens are also largely inactive, with only $14.9 million traded in 24 hours.

Researchers have been tracking this gap between value and liquidity for months, highlighting the need for greater understanding of these tokenized assets. The RWA sector's growth on Monday was largely due to a new listing rather than actual buying activity.