Finance & Loan News

RWA.io and Veritas Protocol Report Finds 143% Spike in Tokenized Asset Losses in First Half of 2025

A joint report by RWA.io and Veritas Protocol, with contributions from Tron DAO, reveals a sharp increase in losses linked to tokenized real-world assets (RWAs) due to emerging security vulnerabilities. According to the report, financial losses from on-chain operational failures reached $14.6 million in the first half of 2025, marking a 143% increase over the total for 2024. The study, titled “RWA Security Report 2025: An Analysis of Tokenized Asset Threats,” examined blockchain security incidents between January 2023 and June 2025. It identifies a major shift in attack patterns within the rapidly expanding RWA sector, which now exceeds $30 billion in market value. Unlike previous years dominated by credit defaults, the 2025 incidents were entirely on-chain, driven by factors such as private key compromises and oracle manipulation. “The tokenization of real-world assets is a large and growing financial sector, but this growth introduces new risks,” said Marko Vidrih , COO of RWA.io. “The speed and sophistication of modern attacks mean the industry must move from periodic audits to continuous, automated security to protect investors and maintain market stability.” The report highlights the March 2025 Zoth Protocol breach as a significant case study. The incident resulted in an $8.5 million loss due to a compromised private key, demonstrating how security gaps can lead to drained funds even in systems considered technically sound. The authors argue that such events reveal the limitations of traditional security audits, which may not detect real-time threats. To address these vulnerabilities, Veritas Protocol has introduced a security framework powered by an autonomous multi-agent AI system designed for continuous threat monitoring. The system operates more than 14,000 times faster than manual audits and generates real-time “Trust Scores” to help investors assess the safety of smart contracts and wallets before interacting with them. “The RWA market has reached a point where manual and periodic approaches are no longer sufficient,” said Jan Vidic, CTO of Veritas Protocol. “Our framework automates risk detection and mitigation, giving both institutional and retail investors the ability to monitor on-chain behavior continuously. This is critical for maintaining trust and liquidity as tokenization scales globally.” The joint analysis also references effective responses from the wider blockchain ecosystem, including the T3 Financial Crime Unit, a collaborative initiative by TRON, Tether, and TRM Labs. The unit has successfully frozen more than $250 million in illicit assets in under a year, offering an operational example of proactive financial crime prevention that could be adapted to safeguard tokenized assets. Among its key findings, the RWA Security Report 2025 notes that 63% of illicit transactions involved stablecoins, highlighting their growing role in digital finance. Ethereum accounted for 56.6% of total losses, underscoring how activity remains concentrated on major networks. The report concludes that automated, AI-driven security infrastructure will be essential to scale risk management as the RWA market is projected to surpass $30 trillion in the 2030s. The full report is available for download at https://www.rwa.io/research . About RWA.io RWA.io is the global hub for real-world asset tokenization. The platform provides a unified ecosystem where issuers and investors can find, evaluate, launch, trade, and manage the complete lifecycle of tokenized assets with clear paths to liquidity. About Veritas Protocol Veritas Protocol is an AI-powered security platform for autonomous vulnerability detection. Built on a multi-agent framework and advanced machine learning, it identifies and mitigates risks in real time, offering scalable, affordable security solutions for blockchain projects and users worldwide.