Tokenization of Longo AI

Tokenization of RWAs via Longo AI

Longo AI brings together Real World Assets and DeFi, creating a space where the two can intersect. By enabling the transformation of real-world assets into digital assets within the DeFi ecosystem, Longo AI optimizes liquidity and profit potential.

Longo AI does tokenization in 2 ways:

1. Tokenizes assets and assigns them transparently to each lending pool on its Lender Portal. Our Proof of Trade mechanism ensures transparency by mapping underlying collateral to NFTs, which helps users easily view the assets associated with each pool on the Longo AI website. This is a giant leap forward in terms of transparency in RWA lending pools. Users can now see exactly where the funds from the lending pool have been deployed.

2. Longo AI is also soon launching an RWA marketplace wherein asset originators, investors, insurers, traders, and market makers can come together and can buy, sell, trade, fractionalize and bundle tokenized assets together. This means that investors will soon be able to create a portfolio of pieces or fractions of a Walmart invoice, carbon credits issued by a Dutch company, and loans from LATAM. The asset originator will burn and settle all tokens at maturity while Longo AIensures that the assets are held with the originator and gate the marketplace to only allow quality assets. The platform adopts an asset-agnostic approach, allowing users to connect a diverse range of assets with the DeFi realm. This approach benefits both asset originators and investors, offering advantages that cater to different risk-reward profiles. When an asset originator comes to Longo AI, their assets are converted into non-fungible tokens (NFTs) that are incorporated with appropriate legal documentation. These NFTs are tokenized representations of specific assets, such as an invoice, loans, carbon credit, real estate, or structured debt. These NFTs are critical in decreasing the barriers to entry for asset origination and investment, expanding asset financing and liquidity, and building bridges between the real world and DeFi.

The DeFi space has evolved from 0 to 60B TVL and RWAs are gaining traction, providing a chance for DeFi users to reconsider how this technology might integrate into their portfolio or provide access to alternative asset classes. RWA protocols are here to help real-world businesses raise capital and expand DeFi use cases beyond what we previously thought was possible.