On May 5, 2025, Ant Group’s Jovay Layer-2, a new Ethereum scaling solution, was unveiled by Ant Digital Technologies, a subsidiary of Ant Group, at the RWA REAL UP Summit in Dubai. Designed to handle up to 100,000 transactions per second (TPS), this blockchain network aims to transform real-world asset (RWA) trading, such as tokenized stocks, property, and energy credits. With Ant Group’s expertise in fintech and a $3.2 trillion crypto market, Ant Group’s Jovay Layer-2 positions itself as a leader in Web3 innovation. This article explores how Ant enhances blockchain scalability, its implications for investors, and future opportunities.
Why Ant Group’s Jovay Layer-2 Matters
Ant Group’s Jovay Layer-2 addresses Ethereum’s scalability challenges, where the mainnet processes only 15–30 TPS with high gas fees. Launched to support RWA tokenization, Jovay leverages Ant Group’s AntChain technology and introduces the DTVM virtual machine, enabling complex smart contracts for asset trading. Unlike traditional Layer-2 solutions, Jovay offers a 100ms response time, making it ideal for high-frequency transactions.
Ant Group advances blockchain efficiency to tap into the growing RWA market, projected to reach $10 trillion by 2030. Posts on X highlight enthusiasm, with users noting Jovay’s potential to unlock liquidity for assets like real estate and carbon credits. Ant’s move aligns with competitors like Polkadot, which launched a similar Layer-2 in Q1 2025, signaling a race for blockchain scalability.
Details of Ant Group’s Layer-2 Solution
Ant Group’s Jovay Layer-2 operates as an Ethereum-compatible network, using zero-knowledge rollups to batch transactions off-chain while ensuring security via Ethereum’s mainnet. The DTVM virtual machine supports advanced smart contracts, enabling tokenized assets like stocks or property to be traded seamlessly. Jovay’s 100,000 TPS capacity surpasses competitors like Arbitrum (40,000 TPS) and Optimism (20,000 TPS), offering near-instant transaction finality.
Ant Digital Technologies plans to integrate Jovay with AntChain’s existing infrastructure, used by over 100,000 enterprises for supply chain and trade finance. The network’s testnet, launched in April 2025, supports developers building DeFi and RWA applications, with the mainnet expected by Q4 2025. Ant scales blockchain performance to meet institutional demand, leveraging Alibaba’s ecosystem for global reach.
Implications for the Blockchain Market
Ant enhances blockchain scalability, potentially reshaping the Web3 landscape. Jovay’s high throughput could attract institutional investors, with tokenized RWAs like bonds and commodities gaining traction. The network’s low fees—reportedly 90% lower than Ethereum’s—make it accessible for retail users, driving crypto adoption. Jovay’s focus on RWAs aligns with trends like BlackRock’s tokenized fund, which grew 200% in Q1 2025.
However, regulatory scrutiny in markets like Hong Kong and Singapore could challenge Ant’s expansion. Security risks, such as smart contract vulnerabilities, remain a concern, as seen in recent Layer-2 exploits. Ant advances blockchain efficiency to stay competitive, but navigating compliance will be critical.
Opportunities for Developers and Investors
Ant Group’s Jovay Layer-2 unlocks opportunities for developers and investors. Developers can build DeFi, NFT, and RWA applications on Jovay’s testnet, leveraging its high TPS and DTVM flexibility. Investors may explore AntChain-related tokens or Ethereum ecosystem projects, with ETH trading at $4,200 in May 2025. Jovay’s integration with Alibaba’s 700 million users could drive mass adoption, boosting Web3 growth.
Ant scales blockchain performance to support applications like tokenized energy credits, offering diversified investment options. Partnerships with platforms like HashKey Group could further enhance Jovay’s ecosystem.
Challenges Facing Jovay’s Adoption
Statistics on the Real World Asset (RWA) sector, screenshot from rwa.xyz taken on May 5, 2025.
Despite Ant enhancing blockchain scalability, challenges persist. Regulatory hurdles in China and global markets may delay Jovay’s mainnet launch. Competition from Layer-2 networks like Base and Mantle could fragment liquidity. User education is also critical, as RWA tokenization remains complex for retail investors.
Security concerns, including potential zero-knowledge proof vulnerabilities, require robust auditing. Ant must address these to ensure Jovay’s long-term success.
Looking Ahead for Ant Group’s Jovay Layer-2
As Ant advances blockchain efficiency, Jovay positions Ant Group as a Web3 leader in 2025. Developers should leverage the testnet, while investors monitor RWA trends. With blockchain adoption surging, Ant Group’s Jovay Layer-2 drives innovation, reshaping digital asset trading.
