The tokenized U.S. Treasury market has surpassed 4 billion USD, with institutions accelerating their adoption.

According to Deep Tide TechFlow and reports from Bitcoin.com, the total market size of tokenized U.S. Treasury bonds has surpassed $4.07 billion, growing by $1.57 billion in the past 103 days, indicating an accelerating pace of institutional adoption. According to data from rwa.xyz, the average annual percentage yield (APY) for tokenized Treasury products is currently 4.2%, and the number of holders has nearly doubled from 8,754 to 15,463 in just over three months, distributed across 37 tokenized Treasury funds. This influx of capital and surge in participants suggests that the tokenized Treasury market is transitioning from a niche experiment to a mainstream financial product.

The Hashnote Short Duration Yield Coin (USYC) currently dominates this space, with a market cap increasing from $495.07 million on November 26 last year to $956.27 million today, a rise of $461.20 million. Following closely is Franklin Templeton's on-chain fund, the Franklin Onchain U.S. Government Money Fund (FOBXX/BENJI), which has seen a market cap increase of $270.35 million to $686.80 million. Blackrock's tokenized product, the Blackrock USD Institutional Digital Liquidity Fund (BUIDL), ranks third, with its market cap rising from $530.29 million to $668.41 million. These three funds collectively account for 56.78% of the total value of the tokenized Treasury market.