RWA Tokenization - Ginger Eke-Daniel

GMGM GM Lagos where is the energy now um okay I overheard uh someone talking about if we are here for the tech or if we are here for the money and a lot of people say tech maybe we don't like the money but me I'm here for the money so uh talking about web 3 there are so many misconceptions there are so many terms I know we all sitting here we've been hearing devops d terms that we don't even understand is not making sense to us. That is um one thing that is slowing adoption in web especially in this part of the country because we actually building what people can't relate with. If I want to explain OP or money point to a market woman, it's very simple. Just this is what they do. You collect money at a cheaper rate.

You are not being charged. Very simple. And when it comes to blockchain, we have to speak so many terms uh on board uh off ramping on ramping and all those things. It confuses a whole lot. So today we'll be talking about uh reward assets tokenization.

Does anybody here know what RWA is? All right, that's why we are here. We explain better. So I want to tell a simple story. Okay.

There was this family of um five siblings. They inherited this um historical artifact jewelry from their family. It's more like a family history. They inherited it. So how it is that five of them is supposed to own or have equal ownership of that jewelry without selling it because of course it's a family history.

You're not supposed to just sell it out. It has this um history back to it. So they now decided since we all have equal ownership of this and we are not supposed to sell it. Some people were like I want to sell part of my own. There's no way you can sell part of your own without selling the entire artifact.

So when that happened they decided to disintegrate these artifacts called them so that sorry they had to disintegrate this artifact share it into five places automatically losing the value of the jewelry. So now where does blockchain comes into this? Let me explain what tokenization actually means just with this simple story so we can relate and understand. Uh tokenization actually means bringing the value of this jewelry. We all use for example bringing the value of this jewelry on chain minting the tokens to these five siblings.

Let's say the market value of the jewelry is $100,000. So a 100,000 tokens will be minted to represent the value of this asset which is the jewelry in quote on chain. So when that happens since there are five you distribute 20,000 units each to these five people making it 100,000. This makes sense in a way that you don't have to sell the real assets. You don't need to cut it or disintegrate it.

Each of them has equal ownership of these assets. You don't need to say okay how can I even if you want to sell one token of your own you need money as a sibling of course you have the ownership you sell like 100 token I don't know if this makes sense actually I'm trying to like break it down so we all can understand what tokenization really means in real life so you can sell a part of your token you can decide to sell all of your tokens but you still maintain the value of this assets now what are the benefits of tokenization so uh I need to really Benefits of tokenization. Asset owners. There's so many things you can tokenize. You can tokenize land, properties.

We'll get to that. Benefit of tokenization. Now, fractional ownership where you don't need to sell the entire asset to assess a value. You can sell small portions of the tokens. Anybody can invest in tokens.

Can can um benefit from tokenization as long as you have the token. As long as the token is minted to your address, the physical value is there and there's an online onchain value which is minted uh across addresses. You don't need to start uh let's say for a piece of land liquidity as liquid assets for real estates where you don't need to be a big investor. I know most of us all of us I don't know if anybody here has uh a land uh on the island because it requires a huge amount. You need to be a big investor to get or acquire land over there.

So what happens when we bring this land on change? You can buy just a fraction of it with your $1 because the token that is present, let's say the land is $1 million. Now we've minted 1 million tokens representing this $1 million. Now with your $1, you can buy a fraction of this real estate and it will be your own. Of course, it will appreciate in value.

We all know real estate appreciate in value. This is the solution blockchain is bringing. I'm also I'm actually solutiondriven when it comes to blockchain because um there's a whole lot of noise on the space meme coins rock pools up here and there we are not really seeing the real solution blockchain is solving to our real life problem. So this is exactly a real life problem blockchain is solving where you can invest as a small investor you can invest just with your fraction going to preservation of value like I said the other family that had to disintegrate this artifacts they could have done what bring it on preserve the value because once you disagre disintegrate something you've lost the value you've lost the feeling that is attached to it now investor buyers and token accessibility instead of okay just like I've explained like the necklace okay going next now market business buyer pool where I've explained where you don't need to be a big investor to invest in tokenization all you have to do is just use your little liquidity and you can get or benefit anything from the token because of course it will always go in profit now um okay now what can Can we tokenize? There are so many things you can tokenize.

And here I really want to like differentiate between tokenization and um shares. Shares is more like you are buying the value of the company. Let's say I'm buying SRP 500. I'm buying NASDAQ. I'm buying the company's share.

Now let's say I'm buying um Tesla like we all know. I'm buy I'm not buying a vehicle. I'm buying Tesla's profit. So when Tesla makes profit, I make profit. If Tesla should lose, of course I lose.

But if we tokenize Tesla vehicles, I own Tesla vehicle. I own a fraction of Tesla vehicles. We can come up in five and purchase Tesla vehicle because I maybe I cannot afford it just on my own. And we have five big investors. We can come together purchase Tesla vehicles and we own Tesla vehicles because we hold the token equally.

That is just one of the benefit of organization. jewelry, shares, farmland, livestocks, football academy, intellectual property, music, movies, this and all are what we can tokenize and benefits green life problem. That is what blockchain is solving here. Now I really want to go to the main um business of the day which is coffee and the global coffee market is actually around 48 something billion in US dollars. The Ethiopian coffee market is valued at 4 billion US.

The Nigerian coffee market is valued at hundred million US. Of course, that shows there's an improvement, there's an adoption, there's room for growth. So, what we actually doing in Waga is we are bringing this coffee in farmland. This coffee produced by these farms, we are bringing it on chain where individuals can hold a token of this coffee without having a farm. You can hold a token that represents this coffee offchain.

You can have it onchain. You can hold it. You can do whatever it is you want to do. You can trade it. It is open for everybody.

So my colleague will be saying more about Waga and how you can join Waga. Thank you.

Hi, my name is Jennifer Chin Ojaku. So I'm representing Waga and my colleagues had actually made mention of tokenization. Now Waga, what is Waga? Waga means value. That's an uh it means value.

Okay. So why Waga? Why are we bringing Waga onchain? Why are we doing this? Why are we doing this?

Now we know farmers currently earn less than 10% of the real coffee value. They earn less than 10%. While the medium and global brand capture most of the margin, 90%. But you can see the margin there actually there's huge difference. Here comes uh due to the lack of transparency both farmer and consumer there are no traceability.

So henceforth why we're bringing coffee onchain. Now I see people are actually inquisitive. They were asking us why coffee. Now our mission is to ensure farmers capture most value for every bag of coffee sold and we are actually to create new any opportunities for distributors and so proprietors. We also provide consumer retraceable high quality ethical sourced coffee and this our coffee we are bringing it from Ethopia.

We all know Etopia coffee is actually raised on the high side. So we are using blockchain to bring trust, efficiency and fairness to the coffee trade. Next one. What is our expected outcome for the farmer? high and more stable income directly for the distributor to earn uh without inventory risks because we have a mechanism whereby we have a distributor model.

Now the distributor will hold our token. We have Waka utility token whereby with this token uh the distributor can be able to redeem uh J request for consumer is to verify the traceability from farm to cop and support sustainable coffee production. All right. How does Waga work? How does it work?

We tokenize coffee. C coffee batches have been tokenized using the ERC 1 155 tokens which we have already done that the distribution the distributor holds our token. Just as I said earlier, we have the distributor which will hold our token and then they will redeem when the customer orders or place an order. It will be redeemed and they'll place a request which will be verified by the admin and the token and the and the coffee will be sent to the consumer. The payment consumer can either pay through any channel.

It doesn't you don't actually have to hold our token here. You can pay through any channel through the cash transfer USD. Meanwhile, while you're making your payment through the distributor, now that is when the distributor redeems it with our utility token and place your orders. Now the redemption distributor redeem token with Waga using the USSD and it then uh with our our Waga token and then the coffee is being shipped directly to the consumer. So this is how our mechanism works.

So why the Waga utility token? Our Waga utility token is being held or is being held by the distributor. So the distributor will stake the the token to show their commitments and they actually uh generate a revenue which can be paid out in US uh USDC or PS deal which is gold as gold is also a real world asset. Now our distributors model who can join who can be a distributor a sole proprietor can be a distributor. So proprietor anyone can be a distributor.

Hotel owners can be a distributor. Now you don't have to own the physical coffee. You don't have to hold the physical coffee. It won't even be in your possession. Just redeems the token and it will be sent to the consumer.

and easy cash flow. All right. So, compliance made easy. Why did we have to verify the the distributor for your local license wherever you are either in Nigeria or anywhere and perform our due diligence with KYC. The outcome of our value chain, the farmer gets a fair income.

Distributors also gets a revenue when they stick Waga utility token. Customers get verified and ethical coffee is being uh dispersed to them. While our token holders are they actually get uh revenue shares in stable coin or in gold which is packed chain as I said earlier. So we actually want to be a leadership in in web 3 Africa.

All right. Um thank you very much. Um one thing Waga is building is trying to bring transparency of which we all know that is what um blockchain is promoting. That is what um blockchain is promoting. Then to be a a Waga distributor, what my colleague is trying to say is that you don't need to have a warehouse, don't need to have a shop, don't need to have a store.

All you need to do is have customers. You come onto our DAB, you connect your wallet, you hold our token, you redeem your token using a customer, a customer's address that must have ordered, and we do the shipping directly from our end to the customer. You as a distributor, you don't need to see the coffee physically. You don't need to hold the coffee. You don't need to have a shop or a warehouse.

No, all you do is to come. Although we have limited slot for distributors. This is our site where you can connect your wallet. This is the admin portal and the distributor portal where you input all the details and the customer's address and we do the shipping directly to the customer. Now the big deal here is um it's not really about our token or anything because of course from our revenue we do a uh we give out a certain percentage of our profit into our liquidity pool that is on the business aspect.

Then on the uh distributor aspect what we are trying to do is to what we're trying to do is to create opportunities here to create employment to create employment. Uh because let's say we have 500 here. Imagine we have 500 distributors. That means we have created 500 jobs and you don't need to do any form of inventory. Everything is being done from the Waga protocol end.

All you have to do is get a token, redeem it using the customer's address and we take care of it at a cheaper price. Why? Because the middlemen that are hiking prices because one thing in the coffee market, like I said, it is being valued. The coffee market is being valued in Ethiopia at 4 billion USD and the farmers don't even get even the quarter of what is being generated. Someone is robbing them, which is the middle man.

And they're hiking prices. So what is doing here is bridging that middleman connecting the farmer directly to the customer at a very cheaper price. So this is where we are building our community and we have an upcoming contest coming up of which if you want to participate for a price of $300. If you want to participate it's not a content creation. You don't need to dance or anything.

If you want to participate all you have to do is scan the QR code, join our waiting list and we'll take it from there. Thank you very much.