2. Industry Status and Challenges

The Internet of Things (IoT) has completely transformed how we interact with the physical world, connecting billions of devices and generating vast amounts of data. However, the current IoT ecosystem faces a severe 'data silos' problem—devices struggle to coordinate, data remains fragmented, and its value is not fully realized. More concerning is that centralized control reduces operational efficiency, introduces security risks, and even hinders industry innovation. Traditional IoT ecosystems can no longer keep pace with rapidly evolving demands, necessitating innovative solutions to unlock their enormous potential.

HiIoT is redefining the IoT landscape with an innovative approach, integrating Web3 technology to break data barriers and enable the tokenization of IoT assets and data. This breakthrough not only opens up new investment opportunities for Web3 users but also allows traditional IoT investors to expand their market reach. HiIoT is driving IoT toward a more open, efficient, and secure future, ultimately bringing greater innovation and value to the global economy.

2.1 RWA Industry Status

According to market data, as of 2024, the on-chain RWA market is valued at only $14 billion, indicating that the industry is still in its early development stages and remains immature. Despite significant market potential, the RWA sector faces multiple challenges that need to be addressed.

2.2 Key Challenges

1. Limited Asset Types and Insufficient IoT Asset Tokenization

Currently, RWA primarily focuses on real estate, art, and securities in traditional markets. However, a vast number of valuable IoT assets (such as smart devices, sensors, and infrastructure) remain largely untapped and underutilized. The lack of tokenization for these assets limits their circulation and value appreciation within the blockchain-based financial ecosystem.

2. Lack of Data Transparency and Credibility

Existing RWA data is primarily controlled by centralized systems or intermediaries, resulting in low transparency and a high risk of data tampering. The inability to ensure data authenticity and security directly affects asset transaction credibility, reduces market efficiency, and impedes the healthy growth of the RWA ecosystem.

3. High Asset Transaction and Management Costs

The market currently lacks a unified standard for asset digitization, making the RWA tokenization process complex and expensive. High compliance, transaction, and management costs reduce market liquidity and limit the adoption of innovative applications. As a result, potential investors and asset owners face significant entry barriers and operational costs.

4. Lack of Efficient Asset Management Tools

Even after successful tokenization, asset operations and management remain challenging. Existing infrastructures lack efficient asset tracking, data analysis, and optimization tools, making it difficult for investors and asset owners to precisely manage and maximize asset value. This uncertainty increases operational risks, affecting long-term asset stability and expected returns.

2.3 HiIoT's Solution

HiIoT aims to address these industry pain points by advancing the tokenization of IoT assets and building a more secure, transparent, and efficient RWA asset management system. By leveraging blockchain technology and smart contracts, HiIoT will facilitate trustworthy asset transactions and intelligent asset management, enhancing market liquidity and creating new opportunities for innovation in the RWA ecosystem.