Tokenized US Treasuries Hit $7.45 Billion All-Time High

Tokenized US Treasuries hit $7.45 billion TVL in August 2025, following a July correction, with Ethereum as the primary blockchain supporting these financial products.

This surge highlights increasing institutional interest, driven by leading asset managers like BlackRock and Franklin Templeton, impacting traditional finance and crypto-market dynamics.

Tokenized US Treasuries Reach $7.45 Billion TVL

The tokenized US Treasury market has surged, reaching an all-time high TVL of $7.45 billion following a mid-year correction. Institutional players are increasingly invested in tokenized financial products.

BlackRock, WisdomTree, and Franklin Templeton are leading tokenization efforts, with their products accounting for large portions of the total locked value in the market.

Ethereum’s Role Central to Institutional Interest

The chart-topping figure reflects strong institutional interest, particularly in using Ethereum as the primary infrastructure. Banks and large exchanges are integrating these products as collateral, highlighting financial shifts.

Market experts predict further growth as new tokenized products are developed, broadening opportunities across the financial landscape and aligning with current DeFi trends.

Institutional Activity Drives Post-Correction Recovery

The July 2025 correction was a blip compared to the rapid growth this sector has seen. Analysts attribute this peak to increased institutional activity driving on-chain growth.

Historical trends suggest that the adoption of crypto ETF products will catalyze further integration and expansion of tokenized treasuries into mainstream finance.

Max Gokhman, Deputy CIO, Franklin Templeton Investment Solutions, “Most fund managers are not interested in cryptocurrency. However, education and yield-related moves, such as approving crypto exchange-traded funds with staking, could help drive more adoption among these investors.”