Ethereum’s Tokenized Assets Smash Records: $270B AuM Signals DeFi Domination
Wall Street's paper pushers just got a crypto wake-up call.
Ethereum isn't just hosting JPEGs anymore—its tokenized asset ecosystem now commands $270 billion in assets under management. That's more than some sovereign wealth funds.
The infrastructure play
While TradFi giants were busy filing SEC paperwork, Ethereum's smart contracts quietly became the backbone for digitizing everything from real estate to T-bills. The chain now settles more value than some legacy clearinghouses.
DeFi's institutional pivot
That $270 billion figure isn't just whale money. Pension funds and asset managers are finally realizing yield farming beats 0.5% on a savings account—even if they'll never admit it at country club lunches.
The cynical take? Banks will spin up 'blockchain innovation' departments next quarter to pretend they planned this all along.
Ethereum Becomes Preferred Platform
The onchain data tracking platform, Token Terminal, reports that ethereum hosts about 55% of all tokenized asset value. The network’s smart contract ecosystem and the use of the ERC-20 standard have helped it become the main platform for tokenized finance. Large pools such as USDT, USDC, and BlackRock’s BUIDL fund are all issued using that standard.
New standards like ERC-3643 are bringing real-world assets to the chain. These include real estate, fine art, and private equity. With the market already at $270 billion, some analysts expect tokenized asset value to reach the trillions if the current pace continues.
Stablecoins Leads the Tokenization Sector
Amid ongoing acceleration of stablecoins, one clear sign of this trend is PayPal’s PYUSD. It is issued only on Ethereum and now has more than $1 billion in circulation. “PayPal’s PYUSD exceeding $1 billion supply cements Ethereum as the settlement layer for major finance. Stablecoin scale like this deepens liquidity and utility. Institutions are quietly standardizing on ETH,” one user said in a post on X.
PayPal’s PYUSD nearing $1B supply cements Ethereum as the settlement LAYER for major finance.
Stablecoin scale like this deepens liquidity and utility.
Institutions are quietly standardizing on ETH.
BlackRock’s tokenized BUIDL fund has also been seen as a key example of how traditional money market products can be issued on-chain. Experts say Ethereum’s large user base and active developers make it the preferred choice for institutions.
Stablecoins like USDT and USDC support global payments and DeFi, while tokenized treasuries attract institutions looking for steady returns and quicker settlement.
Some analysts remain cautious, pointing to Ethereum’s selling pressure despite most of its supply being in profit. Even so, the rapid growth of tokenized assets suggests that traditional finance and blockchain are moving closer together.
Also Read: SharpLink Expands ETH Treasury Amid Strategic Overhaul
