How BlackRock just lost control of the $10B tokenized Treasury market to Circle for one simple, mechanical reason

Tokenized US Treasuries have surpassed $10 billion in value, marking a shift from proof-of-concept to operational infrastructure. Within this market, Circle's USYC recently edged past BlackRock's BUIDL as the largest product, signaling that distribution and collateral mechanics now outweigh brand recognition. USYC's lead stems primarily from its earlier integration into key institutional collateral rails, such as Binance's off-exchange derivatives collateral list, and its 'Accumulates' interest structure, which simplifies automated collateral management compared to BUIDL's 'Distributes' model. Furthermore, USYC has a significantly broader accessibility, requiring a $100,000 minimum and targeting non-US investors, whereas BUIDL requires Qualified Purchaser status and a $5 million minimum, excluding many crypto-native funds. This structural alignment with the needs of the broader on-chain collateral market—favoring frictionless integration and wider access—drove the net flow into USYC while BUIDL contracted, demonstrating that infrastructure design is currently determining market leadership.

(Source：CryptoSlate)