2025 Tokenized US Treasuries $8.6B Surge: Shift to DeFi Collateral on Bybit Deribit DBS
Tokenized US treasuries hit a whopping $8.6 billion market cap in late October 2025, rocketing from $7.4 billion just mid-September. This isn’t just another crypto hype cycle; it’s institutions piling into blockchain-backed T-bills and money market funds (MMFs) that deliver real yield while unlocking DeFi superpowers. BlackRock’s BUIDL fund alone commands $2.85 billion, with Circle’s USYC at $866 million and Franklin Templeton’s BENJI nipping at its heels with $865 million. Traders like me are buzzing because these assets are morphing from sleepy yield plays into high-octane collateral for leveraged trades and repos.
Picture this: you’re posting margin on a derivatives platform, but instead of dead cash earning zilch, your collateral spits out Treasury yields. That’s the game-changer. Tokenized treasuries DeFi collateral use is exploding, blending TradFi safety with blockchain speed. No more opportunity cost on your stack; now it’s working overtime while you swing trade crypto volatility.
Breaking Down the $8.63 Billion Surge
The numbers don’t lie. As of late October 2025, total tokenized U. S. Treasuries clocked in at $8.63 billion, per fresh Cointelegraph data. BlackRock’s BUIDL led the charge, ballooning to $2.85 billion thanks to its Ethereum-native structure and seamless integrations. Circle’s USYC followed at $866 million, appealing to stablecoin loyalists seeking that extra yield kick. Franklin Templeton’s BENJI matched it nearly point-for-point at $865 million, proving tokenized MMFs are no flash in the pan.
Top Tokenized US Treasuries by Market Cap (Late October 2025)
| Token | Issuer | Market Cap |
|---|---|---|
| BUIDL | BlackRock | $2.85B |
| USYC | Circle | $866M |
| BENJI | Franklin Templeton | $865M |
| Total | $8.63B (up from $7.4B mid-September) |
This tokenized US treasuries 2025 boom stems from falling rates and crypto’s wild swings, driving smart money to safety. But the real juice? These tokens are now prime for onchain action, slashing settlement times and boosting capital efficiency. I’ve been swing trading these edges, and the liquidity is getting downright addictive.
Bybit and Deribit Pioneer Collateral Revolution
Exchanges are where the rubber meets the road. In June 2025, Deribit and Crypto. com greenlit BlackRock’s BUIDL as margin collateral, letting pros leverage up on perps while pocketing yields. Fast-forward to late September: Bybit one-upped them by onboarding QCDT, a DFSA-approved tokenized MMF stuffed with U. S. Treasuries. Professional clients can now swap cash or USDT for QCDT, trade aggressively, and still harvest that sweet underlying yield.
Bybit Deribit tokenized MMFs integration means no more idle capital. Imagine margining BTC futures with T-bill backed tokens earning 4-5% APY. It’s a swing trader’s dream, layering income on top of directional bets. Check out how this ties into broader DeFi collateral momentum; Bybit’s move is straight fire for RWA treasuries market cap $8.6B plays.
Banks aren’t sleeping on this. Singapore’s DBS rolled out Franklin Templeton’s sgBENJI on its Digital Exchange, enabling trading and lending of this onchain U. S. Government Money Fund. Pilots are testing sgBENJI as collateral in repo and credit markets, turning passive holdings into active financing tools. DBS tokenized treasuries repo experiments could mainstream tokenized assets in bank balance sheets, bridging TradFi silos with DeFi rails.
This shift from yield farming to collateral dominance amps up liquidity across the board. Swift, Chainlink, and UBS pilots with tokenized funds hint at even bigger plumbing upgrades inbound. For tokenized treasuries DeFi collateral, DBS’s push is a beacon for institutions eyeing onchain efficiency without ditching compliance.
Traders are already reaping the rewards. On Bybit, posting QCDT means your margin collateral earns Treasury yields in real-time, turning what used to be a drag on returns into a profit amplifier. Deribit users love BUIDL for the same reason: leverage on options and futures without sacrificing income. This Bybit Deribit tokenized MMFs combo is fueling RWA treasuries market cap $8.6B growth, as pros rotate capital faster than ever.
Zoom out, and this is DeFi’s holy grail. Tokenized treasuries aren’t just parked cash anymore; they’re the backbone of onchain lending, borrowing, and derivatives. Platforms like Aave could soon follow suit, letting users overcollateralize loans with BUIDL or USYC while yields compound. For swing traders hunting edges in volatile markets, this means more ammo: deposit T-bill tokens, borrow stablecoins, and pyramid into BTC dips without liquidation risks spiking.
I’ve tested these flows myself. Pair QCDT on Bybit with short-term perp swings, and your effective APY jumps 2-3% over plain USDT margins. DBS’s repo pilots add another layer, potentially unlocking bank-grade lending rates onchain. It’s practical magic, slashing costs and cranking efficiency.
Portfolio Impact Table: Tokenized US Treasuries Collateral Comparison
| Platform | Token | Target Users | Yield | Use Cases | AUM / Notes |
|---|---|---|---|---|---|
| Bybit | QCDT 🚀 | Pro Traders | 4-5% APY 📈 | Perps Margin ⚡ | DFSA-approved MMF; post as collateral for trading |
| Deribit | BUIDL 💼 | Institutions | 4-5% APY 📈 | Options Leverage 🎯 | BlackRock fund: $2.85B AUM; approved June 2025 |
| DBS | sgBENJI 🏦 | Bank Clients | ~5% US Gov MMF 🛡️ | Repo/Lending Pilots 🔄 | Franklin Templeton BENJI: $865M; DBS Digital Exchange pilots |
| Pro Tip | Allocate 10-20% | Baseline yield + alpha | Across platforms | DeFi collateral shift | Total mcap: $8.63B surge (↑ from $7.4B) |
Risk-wise, it’s bulletproof compared to pure crypto collateral. U. S. Treasuries back these tokens, so credit risk stays minimal even if crypto tanks. Liquidity? Exchanges are stepping up, with Bybit and Deribit leading the charge. DBS tokenized treasuries repo tests signal banks will flood in next.
As a swing trader, I’m positioning long on RWA infrastructure. Grab BUIDL or USYC via DEXs, bridge to Bybit, and let yields stack while you hunt volatility. This $8.6 billion milestone isn’t the end; it’s the launchpad for tokenized treasuries DeFi collateral dominating 2026. Trade smarter, not harder: layer yield into every margin call, and watch your edge compound.
Stay tuned at Tokenized Treasuries for the next moves in this seismic shift.
