Tokenized U.S. Treasuries Top $8.6B as Collateral Use Widens

Tokenized U.S. Treasuries have surged from $7.4 B in mid-September to $8.63 B, led by BlackRock’s BUIDL ($2.85 B), Circle’s USYC ($866 M), Franklin Templeton’s BENJI ($865 M) and Fidelity’s MMF ($232 M). Crypto exchanges Crypto.com and Deribit began accepting tokenized U.S. Treasuries as collateral in June; Bybit added DFSA-approved QCDT in September. Traditional finance adoption advanced with DBS Digital Exchange piloting Franklin Templeton’s sgBENJI and Ripple’s RLUSD for trading, lending and repo. Infrastructure integration progressed as Chainlink and SWIFT tested ISO 20022 messaging for on-chain subscriptions and redemptions. Market supply remains concentrated—BUIDL holds 33%, while BENJI, Ondo’s OUSG and USYC each own about 9–10%—but growing diversity boosts liquidity and platform support. Key frictions include qualified purchaser restrictions, daily cut-off times and 10% on-chain haircuts versus 2% in traditional repo. Upcoming repo pilots, exchange tests and the CFTC’s Tokenized Collateral and Stablecoins Initiative could drive tokenized U.S. Treasuries into mainstream collateral use, offering crypto traders new yield and leverage opportunities. These tokenized U.S. Treasuries are shifting from passive yield instruments to active collateral tools in DeFi and finance workflows.