Total Value Locked in Real-World Asset Protocols

Total value locked across real-world asset (RWA) protocols has reached $7.3 billion, marking a 200% increase from a year ago, with government securities protocols capturing a larger market share. Usual Protocol and Hashnote USYC lead the sector with approximately $1.48 billion TVL each.

Hashnote is a regulated digital asset management platform that offers innovative investment strategies with transparency, while Usual Protocol is a decentralized stablecoin issuer that tokenizes real-world assets and redistributes value to users through governance tokens.

The composition of RWA TVL has significantly shifted toward government securities, which now account for approximately two-thirds of total RWA TVL, up from 36% a year ago.

This change suggests increasing confidence in regulated, government-backed digital assets and indicates a maturing market as protocols focus on traditional financial instruments.

Market dynamics are being influenced by potential policy developments in the United States, following President Trump’s reported plans to issue an executive order making crypto a “national policy priority” post-inauguration. There have also been proposals for creating crypto advisory councils that could offer greater representation in policy discussions. These developments may further legitimize RWA protocols, especially those dealing with government securities.

The sector’s growth trajectory warrants attention, as the substantial increase in TVL suggests growing institutional acceptance of blockchain-based financial instruments. With the focus on government securities, this may indicate a preference for lower-risk, regulated assets in the current market.

This is an excerpt from The Block’s Data & Insights newsletter. Explore the numbers driving the industry’s most thought-provoking trends.