Circle Surpasses BlackRock as Tokenized Treasury Market Hits $11 Billion

Circle’s USYC Leads Tokenized U.S. Treasury Products

Circle’s USYC tokenized U.S. Treasury fund now sits at about $2.2 billion. It tops BlackRock’s BUIDL fund, which holds around $2 billion. Circle leads in this market of tokenized Treasuries. Both funds turn U.S. Treasuries into tokens. Investors seek yield and digital collateral.

Growth Drivers: Binance Integration and Institutional Demand

USYC grew fast after joining Binance’s BNB Chain. Binance set up USYC for off-exchange trading. Institutions hold USYC either in Binance Banking Triparty or in Binance’s Ceffu custody platform. Since its July start on BNB Chain, USYC supply reached nearly $1.84 billion.

Market Trends: Tokenized Treasuries and DeFi Collateral Use

Tokenized U.S. Treasuries hit a record value above $11 billion. The market increased by 27% in 2026. Crypto traders and institutions now use tokens for yield, to park funds in market lows, and to free up capital. Circle CEO Jeremy Allaire said "tokenized treasuries and repo as collateral" are a strong new use case in both digital and traditional finance.

Tokenization of Real-World Assets Improves Market Setup

Tokenization turns regular assets like Treasury bills into digital tokens. This process gives near-instant settlement on blockchains. It brings clear reserve checks and round-the-clock market access without bank hours.

Background: Circle’s Entry Through Acquisition

Circle entered the tokenized Treasury fund market by buying Hashnote in early 2025. Hashnote was the first to issue USYC. This move let Circle use its USDC network to add traditional financial assets to its digital system.

Summary

The market for tokenized U.S. Treasuries now exceeds $11 billion. Circle’s USYC is the largest of these tokens. The link with Binance helped spark its growth. These changes show how tokenization and digital finance join old finance, boosting capital use and market access for institutions.

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