The tokénized funds continue to rise

Since the launch of Bitcoin ETF, the rapprochement between Tradfi and Defi has become more and more obvious with the tokenization of assets. Among all the signs that show this convergence, the rapid growth of the tokénized funds which have just exceeded 5.7 billion dollars is undoubtedly the most revealing of this new era.

Tokénized funds, a new financial product between Tradfi and Defi

These are actually new financial products, short -term funds using Blockchain technology, which have been implemented by asset managers since 2021. For example, BlackRock recently adopted Solana for its blockchain fund, illustrating the growing interest of traditional actors. The Moody rating agency, which closely monitors new financial market trends, noted in its June 3 report that the capitalization of these funds now reaches $ 5.7 billion.

These funds indirectly make it possible to invest in American treasury bills or other low -risk assets and thus benefit from the yields of these assets. Taking the assets of the two worlds of finance, they attract Cryptos investors as much, who have access to lower risk investments than those coming from the DEFI, as more traditional investors. The latter find in the tokénized funds a more fractionable and easier to use financial tool than traditional financial products. Indeed, the subscription and redemption procedures are almost immediate here as well as the distribution of yields.

With the stablecoins, the tokénized funds are the second step towards the tokenization of assets, a market which should represent $ 16,000 billion by 2030. While Bitcoin is also present in the tradfi with the ETFs, the tradfi in turn develops in blockchain technology.

Panorama of the main tokénized funds

For the moment, only a few major players in RWAs have positioned themselves in the tokénized funds because the legal complexity of the implementation of assets underlying these tokens in fact eliminates all the small projects which have fewer means at their disposal. The two main funds for the moment are the Institutional Digital Liquidity Fund fund in BlackRock (BUIDL) with $ 2.5 billion in management assets, followed by the ONCHAIN ​​US GOVERNMENT MONEY FUND FUND OF Franklin Templeton with $ 700 million. Then, Superstate, Ondo Finance and Circle each manage between $ 500 and $ 600 million.

If for the moment this sector mainly affects the American market, because the regulation is more favorable, other players see in the tokenization a means of accessing other markets. This is the case of the German Midas protocol which will offer European investors tokens backed by US treasury bills. More specifically, Midas uses seven products administered by underlying protocols (for example BlackRock and Superstate for its MTBLL). For the moment, the stablecoins yields offered on Midas are between 4 and 11.8%. Much easier to access than banking products, we understand the attraction force that these tokénized funds can have with such yields.

Four years after their appearance in the RWA sector, tokénized funds are now mature financial products and fully play their role as a link between Tradfi and Defi. Even if their current growth is already a great success, their development is undoubtedly promised a bright future.