"Dominating Solana and BNB"...Ethereum, Unrivaled as the Top Digital Asset Payment Network

▲ Ethereum (ETH)

The Ethereum (ETH)-based tokenized US Treasury market has surpassed $8 billion, reaching an all-time high. As both traditional finance and cryptocurrency-based platforms simultaneously expand the market, the trend of Ethereum establishing itself as an institutional digital asset payment network is accelerating.

According to Bitcoinist, the market capitalization of Ethereum-based tokenized US Treasury products is estimated at approximately $8 billion. Token Terminal stated that the market size has increased by about 100% over the past six months, reaching an all-time high.

This growth is not a trend led by a single company. BlackRock's BUIDL fund, issued through Securitize, holds the largest share. Franklin Templeton's iBENJI, WisdomTree's WTGXX, Ondo Finance's USDY, Centrifuge's JTRSY, and Superstate's USTB have all contributed to this growth.

Bitcoinist pointed out that this spread is a trend that has moved beyond the experimental stage of a single company. The creation of these products by major asset managers is driven by demand. Investors desire exposure to US Treasuries while also demanding fast settlements, 24/7 accessibility, and programmability offered by blockchain infrastructure.

Ethereum has been presented as the network with the largest concentration of activity in the tokenized Treasury market. According to rwa.xyz data, Ethereum is leading this sector by a significant margin. Its closest competitor, BNB Chain, holds tokenized Treasury assets worth $3.4 billion, while Solana (SOL), Stellar (XLM), and XRP Ledger each remained below $1 billion.

The utilization methods of tokenized Treasuries are also considered a key factor in market expansion. Tokenized Treasuries on-chain are not merely stored in wallets but are also used as collateral to generate returns in decentralized lending protocols and money markets. Unlike traditional bond holdings, the ability to utilize stable, government-backed assets within a broader range of financial applications has been presented as a key differentiator.

Bitcoinist reported that this sector has matured into a multi-billion dollar liquidity layer on Ethereum, directly competing with stablecoin reserves, money market funds, and short-term ETFs. The explanation is that as more collateral moves on-chain, Ethereum's total security value increases, and its status as the primary settlement network for institutional digital assets is strengthened.

However, while the $8 billion figure is a record milestone for the tokenized Treasury market, it still represents a small fraction compared to the entire $27 trillion US Treasury market. Governments and financial regulators worldwide continue to review custody rules, compliance standards, and investor protection mechanisms for blockchain-based securities.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*