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Real Finance
Real Finance
Real Finance is a Layer 1 blockchain protocol built on the Cosmos Tendermint framework, designed to provide institutional-grade infrastructure for the tokenization of Real-World Assets (RWAs). [1] The project aims to connect traditional finance (TradFi) with decentralized finance (DeFi) by creating a compliant, transparent, and programmable ecosystem for on-chain assets. [2]
Overview
Real Finance was established to address the challenges of bringing institutional-grade assets onto the blockchain. [3] The company is developing a full-stack platform that provides the necessary infrastructure and "rails" for financial institutions to adopt and manage tokenized assets. [4] The project's vision is to unlock the potential of the estimated $16 trillion RWA market by solving what it defines as the "RWA Trilemma"—the difficulty of creating a platform that is simultaneously secure, trustless, and decentralized. The protocol's architecture is designed to meet the rigorous security and compliance standards required by institutional participants, including banks, asset managers, family offices, and hedge funds. [1]
A central part of the platform's strategy is a focus on a robust legal and compliance framework. This includes building a compliance engine to enforce regulatory rules and investor eligibility at the token level, helping asset issuers and investors adhere to jurisdictional laws. [3] The protocol facilitates the entire lifecycle of an RWA on-chain, from origination and structuring to tokenization and management. Assets are typically placed in legally distinct structures, such as a Special Purpose Vehicle (SPV), to ensure bankruptcy remoteness and clear ownership before tokenization. The platform is designed to manage the on-chain distribution of yield, dividends, or interest payments from the underlying asset directly to token holders. [2]
History and Development
The initial concept for Real Finance was developed in the fourth quarter of 2024, aiming to fill a perceived gap in the market for a scalable and compliant RWA tokenization infrastructure. [1] A key early milestone occurred on November 13, 2024, when the company announced the close of a $2.9 million pre-seed funding round. This capital was allocated to accelerate product development, expand the engineering and business development teams, and establish the necessary regulatory frameworks. [3]
Throughout 2025, the project continued its development phase. The core protocol architecture and documentation were finalized in the second quarter of 2025, followed by the completion of a full strategic funding round in the third quarter. In December 2025, Real Finance announced it had secured $29 million in a private funding round to further its development and onboard key partners. The project plans to launch its Minimum Viable Product (MVP) in the fourth quarter of 2025. This MVP is expected to include core modules for asset tokenization, risk validation, and on-chain insurance mechanisms. [1] [4]
Technology and Architecture
Real Finance's technological foundation is designed to create a secure and efficient environment for institutional RWA management on-chain. It combines a sovereign blockchain with a novel consensus model and a specialized system for asset representation. [1]
Core Infrastructure
The protocol is built as a Layer 1 blockchain utilizing the Cosmos Tendermint framework. This choice provides a sovereign and permissionless ecosystem that can be customized to meet the specific needs of RWA tokenization. It enables the creation of a specialized consensus layer where business entities, not just technical node operators, can participate in securing the network. These participants are required to stake tokens, creating an economic alignment with the overall health of the protocol. [1]
The RWA Trilemma
Real Finance asserts that its unique design solves the "RWA Trilemma," which it identifies as the core challenge in creating a viable institutional platform for tokenized assets. The trilemma consists of three interdependent properties: security, trustlessness, and decentralization. The protocol addresses each aspect through its architecture. [1]
- Security: This is achieved through a dual-validator architecture, a no-inflation disaster recovery fund (DRF), integrated on-chain insurance mechanisms, and protocol-level slashing penalties that punish misbehaving validators.
- Trustlessness: The protocol embeds trustless systems by requiring specialized "Business Validators" to stake capital. Their obligations are programmatically enforced through on-chain penalties, reducing the need for reliance on off-chain legal agreements alone.
- Decentralization: The platform's permissionless design allows any qualified entity to become a validator. Governance is managed by all validators through a transparent set of rules based on their stake in the network.
Business Validators
A key innovation of the Real Finance protocol is its network of specialized business validators. These are distinct entities that perform critical functions throughout the asset lifecycle, with their performance secured by economic stakes. [1]
- Tokenization Providers: These trusted entities are responsible for originating and onboarding RWAs onto the blockchain. Their duties include verifying asset ownership, ensuring the legal enforceability of the tokenized representation, and maintaining transparency regarding the underlying collateral.
- Risk Assessment Partners: These are specialized firms that analyze and score tokenized assets based on financial risk, market exposure, and compliance data. The resulting risk scores are embedded directly into the asset's on-chain metadata for all market participants to see.
- Insurance Providers: These are decentralized underwriters who offer asset protection. They provide capital-backed coverage based on the on-chain risk data and are bound by guarantees enforced at the protocol level.
Asset Representation and Composability
Real Finance utilizes Dynamic Non-Fungible Tokens (dNFTs) to represent tokenized assets on its platform. Unlike static NFTs, these dNFTs are connected to oracles that feed them real-time data from off-chain sources. This allows the digital asset to dynamically reflect changes in the underlying RWA's value, legal status, or other relevant data points, such as property valuations or loan payment statuses. [3]
Each tokenized asset contains embedded metadata, including its risk profile, compliance status, and a full validation trail from the business validators. This rich data layer makes the assets immediately programmable and composable within the broader DeFi ecosystem. This enables the creation of more sophisticated and compliant financial products, such as securitized RWA pools, risk-adjusted credit markets, and insured lending platforms. [1]
RFT Token
The Real Finance ecosystem is powered by its native utility and governance token, RFT. The token is designed to facilitate various protocol functions and align the incentives of network participants. [2]
Utility
- Governance: RFT holders can participate in protocol governance by voting on key decisions, such as airdrop parameters, protocol upgrades, fee structures, and the addition of new asset classes.
- Staking: Users can stake RFT tokens to receive a share of the protocol's revenue, which is generated from platform fees.
- Priority Access: Staking a specified amount of RFT can grant users priority access to new, high-demand RWA offerings.
- Fee Reductions: The protocol may offer reduced transaction or platform fees to users who pay with or hold RFT tokens.
These utilities are designed to encourage long-term participation and investment in the Real Finance network. [2]
Funding History
As of December 2025, Real Finance has raised a total of $31.9 million across two publicly announced funding rounds.
| Date Announced | Funding Stage | Amount Raised | Lead Investors | Other Notable Investors | Stated Use of Funds |
|---|---|---|---|---|---|
| November 13, 2024 | Pre-Seed | $2.9 Million | New Form, Momentum 6 | Polymorphic Capital, Cogitent Ventures, NxGen, various angel investors | To accelerate product development, expand the team, and establish regulatory frameworks. |
| December 2025 | Private / Strategic | $29 Million | Nimbus Capital | Magnus Capital, Frekaz Group | To expand compliance and operational infrastructure and accelerate the rollout of its institutional RWA platform. |
The December 2025 round included a significant 500 million worth of RWAs. [4]
In a statement regarding the pre-seed round, a representative from lead investor New Form commented on the company's potential, stating, "Real Finance’s approach to RWA tokenization, particularly their use of dynamic NFTs and a robust compliance framework, positions them as a future leader in bridging traditional finance with decentralized technology." [3]
Key People
- Enrique Melero: Enrique Melero is the Co-founder and CEO of Real Finance. He leads the company's strategic direction and product vision. [3]
Following the November 2024 pre-seed funding, Melero stated,
"This funding will enable us to accelerate our product development, expand our team, and secure the necessary regulatory frameworks to bring our institutional-grade RWA tokenization platform to market." [3]
Another quote, attributed to the CEO of Real Finance in December 2025, highlighted the company's focus after its larger funding round:
"This new capital allows us to accelerate our mission of building the premier institutional gateway for real-world assets on-chain. We are focused on compliance and scalability to unlock trillions in illiquid assets." [2]
Use Cases
Real Finance has detailed potential applications of its technology in various sectors. One prominent example is in Green Finance, where the platform can be used to bridge financing gaps for renewable energy projects. In a hypothetical case study, the company described how a solar farm developer, "Helios Power," could tokenize a portfolio of its solar assets. By doing so, the developer could offer fractionalized ownership to a broader pool of institutional and accredited investors, raising capital more efficiently than through traditional financing routes. [1]
Partnerships
In its efforts to advance RWA tokenization infrastructure, Real Finance has signed a Memorandum of Understanding (MoU) with Stobox, a company specializing in digital assets and tokenization. The partnership aims to combine the expertise of both firms to enhance and promote tokenization solutions. [1]
The company's funding rounds have also established strategic relationships with venture capital firms active in the blockchain sector, including Nimbus Capital, Magnus Capital, Frekaz Group, New Form, and Momentum 6, among others. [4] [3]
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