Tokenized US Treasurys surge 50x since 2024, marking shift toward on-chain finance

Tokenized US Treasurys have experienced explosive growth, surging from under $200 million in January 2024 to nearly $7 billion by late 2025, signaling a major shift toward on-chain finance driven by institutional interest in on-chain yield. BlackRock’s BUIDL fund is the flagship product, holding close to $2 billion in assets. Other key offerings include Circle's USYC, Superstate's USTB, and Ondo Finance's OUSG. US Treasury bills are favored for tokenization because they combine government backing with efficient blockchain settlement, creating a regulated entry point into DeFi. Traditional institutions are increasingly using these tokenized assets for settlement and margining to improve capital efficiency, as demonstrated by early adoption tests from major lenders like DBS.

(Source：Cointelegraph)