Lack of Accessibility

One of the most significant issues within the traditional RWA investment space is the lack of accessibility for the average investor. Traditionally, high-value assets—such as real estate, private equity, and intellectual property—are reserved for the wealthy elite and institutional investors. These markets have been dominated by large financial institutions, with barriers to entry that make it nearly impossible for smaller investors or those with limited capital to participate.

For instance, the entry costs for real estate investments are typically extremely high. A single commercial property or high-end residential project may require millions of dollars to buy, making it inaccessible to the average person. Even for smaller real estate ventures, the complexities involved in purchasing, financing, and managing these properties require specialized knowledge and large upfront capital. Similarly, startup investments often demand substantial sums of money and a network of connections to even get a seat at the table, leaving ordinary investors shut out.

Moreover, the traditional wealth management and investment advisory models only serve those with significant disposable income. Lower-income or middle-class individuals, who may have the capital to invest in smaller increments, are routinely excluded from these high-value markets due to both financial and social barriers.

This lack of accessibility contributes directly to the growing wealth gap, as only the richest individuals and large institutions can participate in these lucrative markets, while others are left to watch from the sidelines.