Circle USYC Overtakes BlackRock BUIDL as Largest Tokenized Treasury Fund

TLDR

• Circle’s USYC token has grown to $2.2 billion, overtaking BlackRock’s BUIDL as the largest tokenized U.S. Treasury product
• BlackRock’s BUIDL fund has seen its market share fall from a 46% peak to around 18%
• Binance added USYC as off-exchange collateral on BNB Chain, driving $1.84 billion of USYC’s supply on that network
• The total tokenized U.S. Treasury market has hit a record $11 billion, up 27% this year
• Growth accelerated during the January crypto downturn as investors parked capital in yield-bearing onchain products

Circle’s USYC token has become the largest tokenized U.S. Treasury product in the world, surpassing BlackRock’s BUIDL fund. The shift marks a new chapter in the fast-growing market for bringing traditional financial assets onto blockchain networks.

USYC now holds roughly $2.2 billion in supply, according to data from RWA.xyz. That puts it ahead of BlackRock’s USD Institutional Digital Liquidity Fund, which sits at around $2 billion.

Circle entered the tokenized fund space in early 2025 after acquiring Hashnote, the original issuer of USYC. The product offers investors exposure to U.S. Treasury yields while keeping assets on a blockchain.

BlackRock launched BUIDL in early 2024 in partnership with tokenization firm Securitize. At its peak in May 2024, BUIDL held a 46% share of the tokenized Treasury market. That share has since dropped to around 18% as more competitors entered the space.

Tokenized Treasuries work by representing U.S. government debt as digital tokens on a blockchain. Investors can earn yield while also using the tokens as collateral in trading — something that isn’t easily done with traditional Treasury holdings.

How Binance Fueled USYC’s Rise

A large part of USYC’s recent growth is tied to Binance. The exchange added USYC as off-exchange collateral for institutional derivatives trading on BNB Chain in July 2024.

Under that setup, USYC can be held through Binance Banking Triparty or via Ceffu, Binance’s institutional custody platform. Since that launch, USYC’s supply on BNB Chain has grown to $1.84 billion.

The ability to earn yield while using an asset as trading collateral is seen as a key advantage over holding stablecoins or cash, which typically earn nothing.

A Record-Breaking Market

The total tokenized U.S. Treasury market has hit a record high of over $11 billion, according to RWA.xyz. That represents a 27% increase, or roughly $2.5 billion in added value, since the start of 2026.

Growth picked up pace during the crypto market downturn in January. That pattern suggests some investors moved capital into tokenized Treasuries to earn a steady return while waiting to re-enter the crypto market.

Unlike traditional financial infrastructure, blockchain-based tokens allow near-instant settlement, transparent reserves, and around-the-clock access — features that are driving institutional interest.

Securitize, the co-issuer of BUIDL, did not respond to a request for comment by press time.

As of mid-March 2026, USYC holds the top spot in a market that now spans more than $11 billion in total assets.

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