Why Real-World Assets on Public Blockchains Aren’t Valuable Without Fees

• Mike Cagney says RWA TVL is insignificant without yield flowing to token holders.
• He argues public blockchains are to disintermediate firms like Visa and DTCC.
• Stablecoins and biometric wallets could reduce fraud and challenge card networks.

Mike Cagney, CEO of financial services firm Figure, has said that growing interest in real-world assets (RWAs) on public blockchains lacks meaning without yield for token holders. 

He argued that public blockchains are built to replace traditional financial intermediaries, not host them. Cagney shared these comments this week during a public discussion on X.

RWA Growth and the TVL Debate

In his tweet, Cagney said the market often confuses activity with real value. Metrics like total value locked (TVL) only matter if they generate fees that benefit token holders.

He notes that RWAs have gained attention because big fina…

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