Tokenized Treasuries Reach $8.7 Billion as Authorities and Competing RWA Platforms Draw Near

The value of tokenized U.S. Treasuries has climbed above $8.73 billion in assets under management, highlighting the growing convergence of traditional finance (TradFi) and blockchain, according to a

. This expansion, fueled by institutional interest and investors seeking higher yields, has drawn in major firms such as Securitize, , and Franklin Templeton. At the same time, it has prompted increased regulatory attention and competition from broader real-world asset (RWA) tokenization projects.

The tokenized treasury sector, which involves digitizing U.S. government bond and money market fund ownership, now counts over 57,900 holders—a 6% rise in the past week, per CryptoTimes. Securitize leads the market with a 33.5% share, bolstered by BlackRock’s BUIDL fund, which alone represents nearly $2.83 billion.

and are also key players, with Ondo recently adopting Chainlink’s CCIP to improve cross-chain compatibility. The involvement of Franklin Templeton and WisdomTree further legitimizes the space, as institutions look for stable, income-generating assets amid crypto’s price swings.

Yet, there are obstacles. U.S. securities regulations restrict tokenized treasuries to Qualified Purchasers, excluding most retail investors, and these products often have limited redemption windows, making them function more like conventional funds than round-the-clock crypto assets, according to

. Platforms such as Deribit apply a 10% margin reduction due to liquidity risks, underscoring operational challenges like settlement delays and inefficiencies in secondary trading, as highlighted in the report. Regulatory uncertainty persists, with the U.S. CFTC’s Tokenized Collateral and Stablecoins Initiative and tighter oversight in Hong Kong reflecting a cautious global stance, as discussed in a .

The RWA tokenization field is also expanding beyond treasuries. Khabib Nurmagomedov’s gym network, tokenized on the Mavryk blockchain, was featured by

, and Classover Holdings’ collaboration with Paimon Finance to tokenize educational assets was reported in a . Meanwhile, Brag House Holdings’ merger with House of aims to build a major financial platform utilizing Dogecoin’s network for payments, asset management, and RWA tokenization, according to a . These developments highlight the potential for RWAs to connect tangible and digital value, though challenges such as regulatory compliance and technical integration remain significant, as noted in StockTitan’s coverage.

Analysts point out that tokenized treasuries are attractive because they blend the reliability of TradFi with the speed and efficiency of blockchain. With CryptoTimes citing a seven-day average yield of 3.72%, these products present a strong alternative to traditional cash management, especially with current high treasury yields. However, scaling up will require addressing issues like interoperability across blockchains and standardized settlement processes. The recent adoption of ISO 20022 by Swift and

, which enables smooth communication between banks and blockchain networks, is seen as a step toward broader adoption, as reported by Cointelegraph.

As the sector develops, competition is heating up. While tokenized treasuries currently lead, new RWA projects—from sports teams to education infrastructure—are entering the market. The next few quarters will reveal whether these innovations can match the trust and liquidity established by treasury tokenization. For now, the trend indicates that RWAs are evolving from a niche experiment into a core component of digital finance, as argued in an

.