Circle Tops BlackRock in Tokenized Treasuries at $11B
Circle's USYC token reached $2.2 billion, overtaking BlackRock BUIDL as the tokenized Treasuries market sets a fresh record above $11 billion in March 2026.
What to Know
- Circle USYC surpassed BlackRock's BUIDL to become the largest tokenized Treasury provider, reaching $2.2 billion in supply
- BlackRock BUIDL's market share collapsed to 18% from a peak of 46% in May as competition intensified
- The tokenized Treasuries market set a fresh record at over $11 billion, up roughly 27% since January 1
- USYC's explosive growth is largely driven by Binance, which adopted it as off-exchange collateral — supply on BNB Chain alone hit $1.84 billion
The tokenized Treasuries market just got a new king — and it's not a Wall Street giant. Circle, the company behind the USDC stablecoin, has quietly muscled past BlackRock to become the biggest provider of tokenized Treasury exposure, with its USYC token swelling to roughly $2.2 billion in supply as of Thursday, according to data from RWA.xyz.
How Circle USYC Dethroned BlackRock BUIDL
Circle didn't build USYC from scratch. It got there by acquiring Circle USYC issuer Hashnote in early 2025 — a calculated bet that tokenized money-market funds were about to matter a lot more. That bet is paying off. USYC now sits ahead of BlackRock's USD Institutional Digital Liquidity Fund, better known as BUIDL, which currently holds around $2 billion in assets.
BUIDL was first. BlackRock launched it alongside tokenization specialist Securitize — a move that briefly made it synonymous with institutional adoption of on-chain Treasuries. But the market didn't stay a two-horse race for long, and BlackRock BUIDL watched its market share erode from a 46% peak in May all the way down to 18%. New entrants chipped away at that lead month after month. Securitize did not respond to a request for comment.
Tokenized treasuries and repo as collateral is a major emerging use case and we are proud of how quickly this has grown.
Is the Tokenized Treasuries Market Headed Higher?
What is the tokenized Treasuries market?
The tokenized Treasuries market refers to blockchain-based tokens that represent ownership of U.S. Treasury bills or money-market funds, giving investors yield-bearing assets that settle near-instantly, operate 24/7, and can serve as collateral in crypto trading strategies. That last part — the collateral angle — is what's really driving the current surge.
The tokenized Treasuries market hit a fresh record high of over $11 billion this week, having added roughly $2.5 billion — about 27% — since the start of 2026. What's particularly telling is that much of that growth happened during January's crypto market downturn. When digital assets slid, money didn't leave the space entirely — it parked in tokenized Treasuries, earning yield while waiting for the next entry point. That's a behavior shift worth paying attention to.
The engine behind USYC's rise is Binance. The exchange rolled out USYC as off-exchange collateral for institutional derivatives trading, letting institutions hold the token through partner banks via Binance Banking Triparty or through Ceffu, Binance's custody arm. Since that launch in July, USYC supply on BNB Chain alone climbed to $1.84 billion.
Frequently Asked Questions
What is Circle USYC?
Circle USYC is a tokenized money-market fund issued by Circle after it acquired Hashnote in early 2025. It gives investors yield-generating exposure to U.S. Treasuries on-chain. As of March 2026, USYC holds roughly $2.2 billion in supply, making it the largest tokenized Treasury product by assets.
How did Circle overtake BlackRock in tokenized Treasuries?
Circle overtook BlackRock by acquiring Hashnote, the original USYC issuer, in early 2025, then benefiting from Binance adopting USYC as institutional collateral. USYC supply on BNB Chain reached $1.84 billion, propelling total supply past BlackRock's BUIDL fund, which holds around $2 billion in assets.
Why does the tokenized Treasuries market record matter?
The tokenized Treasuries market crossing $11 billion confirms that institutional demand for on-chain yield is real and growing fast. Investors use these tokens as collateral in trading strategies while earning interest — a capital-efficiency advantage over holding stablecoins or cash that traditional finance cannot easily replicate.