Allora and Novastro are joining forces to bring AI-powered intelligence to Real-World Assets (RWAs), setting a new standard for DeFi ecosystems. 

As a specialized Layer 2 blockchain, Novastro facilitates RWA tokenization, trading, and management, and by integrating Allora’s self-improving AI models will unlock advanced valuation, liquidity optimization, risk management, and automation. 

Unlocking Precision in RWA Markets

One of the biggest challenges in the RWA space is accurate, real-time valuation of assets like real estate, carbon credits, and commodities. Traditional financial systems often lack transparency and struggle with market inefficiencies, leading to inaccurate pricing and reduced liquidity. 

Through Allora’s advanced predictions, Novastro will be able to provide high-fidelity, real-time asset pricing, improving asset valuation and investment confidence in previously opaque markets.

Alongside valuation, Allora’s advanced inferences will enable real-time APY predictions, allowing Novastro users to make more strategic investment decisions. AI-driven insights will optimize yield strategies, lending rates, and risk-adjusted returns, ensuring that tokenized RWAs offer competitive, dynamically adjusted returns based on real-time market conditions.

"Allora’s decentralized intelligence network brings a new level of predictive power to dApps and AI agents. By integrating Allora’s price prediction feeds, Novastro can leverage AI-driven analytics to optimize yield strategies from Real World Assets (RWAs),” says Shreedhar Shreenivasa, CEO of Novastro. “Real-time asset performance tracking and market trend analysis simplify yield farming and staking, making them more accessible and efficient for all users. This integration aligns perfectly with our vision of building an AI-driven RWA L2, enhancing efficiency and unlocking new opportunities for optimized yield generation.”

Strengthening Stability with AI-Powered Solutions

Risk management is essential for ensuring that Real-World Assets (RWAs) can thrive in DeFi. Without robust safeguards, tokenized assets remain vulnerable to market volatility, liquidity crunches, and systemic risks. 

By integrating Allora’s adaptive AI-driven risk models, Novastro is reinforcing protocol stability, security, and long-term sustainability:

• Through AI-powered predictive analytics, Novastro can dynamically adjust loan-to-value (LTV) ratios, automate liquidation thresholds, and implement proactive downside protection mechanisms. These advanced inferences identify potential vulnerabilities before they escalate, predict liquidity risks, and automatically fine-tune collateral requirements—helping to prevent sudden market shocks and maintain confidence in RWA-backed financial products.

• Liquidity optimization is key to making RWAs more efficient and profitable. Allora’s AI-enhanced strategies will allow Novastro users to deploy capital more effectively, balance liquidity pools in real time, and refine market-making strategies. With AI-driven insights, Novastro can predict liquidity shifts in real time, optimizing capital flow to reduce slippage and maximize returns with greater efficiency.

However, securing and optimizing RWAs is only part of the equation—to fully unlock AI-powered tokenized markets, the process of bringing real-world assets on-chain must be seamless and scalable. With Allora as the intelligence layer, Novastro will be able to streamline compliance, valuation, and lifecycle management, making turnkey tokenization services faster and more accessible.

Allora is setting a new benchmark for AI-powered RWA markets—one that is safer, more efficient, and built for the future of decentralized finance. It is pushing Novastro’s RWA infrastructure to a new level, offering businesses and financial institutions a seamless bridge between traditional assets and on-chain markets.

About Novastro

Novastro is a specialized Layer 2 blockchain designed for tokenizing, trading, and managing Real-World Assets (RWAs). Built on Movement Labs’ framework, it combines regulatory-compliant tokenization services, a collateralized stablecoin, and Digital Twin Container (DTC) technology to enhance liquidity, transparency, and efficiency in RWA markets. 

By bridging traditional assets with blockchain, Novastro simplifies asset digitization while ensuring scalability, security, and seamless integration for businesses and developers.

To learn more about Novastro, visit the website, X, Discord, GitHub and developer docs.

About the Allora Network

Allora is a self-improving decentralized AI network.

Allora enables applications to leverage smarter, more secure AI through a self-improving network of ML models. By combining innovations in crowdsourced intelligence, reinforcement learning, and regret minimization, Allora unlocks a vast new design space of applications at the intersection of crypto and AI.

To learn more about Allora Network, visit the Allora website, X, Blog, Discord, Research Hub, and developer docs.