# RWA (Real-World Asset) in MakerDAO ### Financials of MakerDAO With different types of vaults, MakerDAO enables DAI to serve various roles, from lending and borrowing in money markets to liquidity pools in asset trading to tokenizing assets outside the realm of cryptocurrencies, including consumer loans and US treasury bills. As of 18 April 2023, MakerDAO has around 4.9 billions US dollars in assets and generates annual lending revenues of 40 million US dollars. The table below provides a snapshot of the various collateral types of MakerDAO. | **Collateral Type** | **Total Value Locked (TVL) (Millions)** | **Annualized Stability Fee (Millions)** | | ------------------- | --------------------------------------- | --------------------------------------- | | Liquidity Pools | 190.17 | 0.11 | | Others | 64.86 | 0.99 | | Stablecoins | 3,129.78 | 4.27 | | ETH | 876.65 | 10.34 | | RWA | 709.27 | 24.30 | | **Total** | **$4,970.74** | **$40.01** | {% hint style="info" %} * Data retrieved from Dune Analytics on **2023-04-18**. * **TVL** represents the total value of collateralized debts. * **Stability fee** represents annualized lending revenues. {% endhint %} ### **RWA** (Real-World Assets) as Collaterals in MakerDAO A notable development is the large share of revenues generated by RWA or real-world assets. RWA generates the largest portion of revenue despite being ranked the third in terms of total asset (as of April 18 2023) value among different collaterals in MakerDAO. Real-world assets (RWA) help MakerDAO achieve positive returns in high-interest rate environments and volatile markets. By taking on RWA as collateral and issuing DAI, MakerDAO indirectly helps tokenize these assets. Among the various collateral types are bank loans, real estate, trade finance, US treasuries and bonds, and revenue-based finance. Among these, 100 millions US dollars of credit has been granted to Huntingdon Valley Bank in Pennsylvania and 500 millions US dollars of credit has been granted to Monetalis, which purchased US treasury bills through Sygnum bank in Switzerland.

Real-World Asset Report – 2023-02

{% hint style="info" %} * "**DAI Debt Ceiling**" indicates the size of the vault or the amount of DAI that can be drawn by the corresponding transaction partners. * These vaults generate profits and losses (PnL/P\&L) as "**stability fees**" in DAI stablecoins that accrue to the treasury wallet. {% endhint %} ### More on RWA * [Real-World Asset Report – 2023-01](https://mips.makerdao.com/mips/details/MIP105#sentence-summary) * Future framework for RWA → [MIP105: The Real-World Asset Collateral Scope Framework](https://mips.makerdao.com/mips/details/MIP105#sentence-summary) * "All rules for Real-World Asset Collateral for the DAO are contained in this framework, including the procedures of the Real-World Asset Collateral Scope Framework Advisory Council." * [Forum discussion](https://forum.makerdao.com/t/mip105-the-real-world-asset-collateral-scope-framework/19688) © 2023 Xule Lin & Ying-Ying Hsieh. This work is licensed under a [Creative Commons Attribution-NonCommercial 4.0 International License](http://creativecommons.org/licenses/by-nc/4.0/). --- # Agent Instructions: Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter: ``` GET https://makerdao.daogov.info/title/exercise-overview/exercise-2/rwa-real-world-asset-in-makerdao.md?ask= ``` The question should be specific, self-contained, and written in natural language. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.