# Real-World-Asset Tokenization Expands On-Chain Credit

Tokenization of physical assets, verified by sensor and oracle data, increasingly opens on-chain credit to borrowers the traditional banking system underserves, moving real-world assets onto public chains as working collateral.

- Conviction: 40 / 100 (forming)
- Horizon: Emerging (watchlist)
- Tracking since: 2026-07-25T00:00:00.000Z
- Last updated: 2026-07-25T05:46:08.587Z
- Canonical: https://polylog.news/crypto/trends/rwa-tokenization-expands-onchain-credit
- Publisher: Polylog
- Affected regions: Global

## Recent evidence

- [confirms] Brazilian Dairy Farmers Tokenize Their Cows to Borrow Around Bank Lending Limits (2026-07-25): Brazilian dairy farmers tokenized cattle using smart collars streaming herd-health data on-chain to secure livestock-backed loans that traditional credit limits would block (edition report). A sensor-verified, physical-asset lending case extending credit to underserved borrowers is exactly the on-chain-credit dynamic the thesis tracks.