The burgeoning sector of real-world assets (RWAs) within the decentralized finance (DeFi) ecosystem has emerged as a prominent influence in the financial landscape, claiming $7.5 billion in increased on-chain value over the initial five months of 2025. This newly added value takes the total RWA on-chain value to an astounding $23.8 billion, a notable rise from $16.3 billion at the beginning of the year. This growth trajectory not only mirrors the surge witnessed in 2024 but also highlights RWAs’ ascendance, as the sector outpaces stagnating or contracting segments within DeFi.
Amidst a backdrop of economic uncertainty, characterized by shifting yield expectations, RWAs have captured a wider array of investor interest, propelling the number of unique addresses holding these assets to over 100,000—a 22% year-to-date increase as of May 13. This widespread adoption signifies a key inflection point for RWAs, which are quickly transitioning from niche assets to central fixtures within both institutional and decentralized finance.
The driving forces behind this impressive growth are diverse, with various RWA categories witnessing distinct trajectories in value and market participation. Notably, tokenized treasuries, particularly those associated with U.S. government bonds, enjoyed robust inflows that significantly bolstered the sector’s expansion. A remarkable 79% of the growth in this asset class was attributed to BlackRock’s BUIDL, an institutional-grade tokenized treasury product that has surged since mid-March 2025. Following the implementation of new tariffs, BUIDL reported an impressive year-to-date value increase of over 343% and a 57% rise in new holders, underscoring its appeal in a challenging economic environment.
The surge in the tokenized treasury sector did not occur in isolation. It also catalyzed a corresponding interest in non-U.S. bonds, particularly Euro-denominated assets, which saw a 101% increase in on-chain value in 2025. Despite these noteworthy gains, Euro bonds accounted for only 1% of the broader RWA market, indicating that while they were the standout performers within their category, their collective impact remains limited on a macro scale.
In tandem with these developments, the tokenized gold market emerged as a strong player, surpassing its 2024 performance metrics with significant growth in both market capitalization and user participation. The total market cap for tokenized gold surged by over $547 million in 2025, primarily driven by leading products like Paxos’ PAXG, Tether’s XAUT, and Kinesis’ KAU. The latter has been particularly notable, nearly doubling its holder base since January. This resurgence aligns with favorable macroeconomic conditions, as uncertainty surrounding trade policies created demand for gold as a safe-haven asset. As such, trading volumes for tokenized gold spiked to nearly $400 million on April 22, coinciding with gold spot prices reaching an all-time high.
Underlying these asset movements is the Ethereum blockchain, which has cemented its status as the dominant infrastructure for RWAs. The Ethereum ecosystem, encompassing both its mainnet and layer 2 solutions, now hosts more than 82% of the total RWA value on general-purpose blockchains. This figure marked an increase from 75% at the beginning of the year, reflecting Ethereum’s unique ability to foster diverse RWA products without becoming overly reliant on a single vertical. One notable development within this space has been the launch of Tradable, a private credit-focused platform that rapidly deployed $1.7 billion in assets, showcasing the adaptability and potential of Ethereum as an RWA hub.
Looking ahead, the trajectory of RWAs within DeFi hinges on external factors, including ongoing tariff negotiations that may influence investor sentiment and risk appetite. If trade tensions continue to escalate, the trend toward safe-haven and yield-generating assets may gain further momentum. Conversely, a resolution to these tensions could challenge the sustainability of current inflows, prompting a reassessment of market strategies.
The evolving landscape of RWAs is not just a DeFi phenomenon; it is indicative of broader shifts in the financial sector. The growth in tokenized assets reflects an integration of traditional financial elements into the decentralized ecosystem, challenging the existing paradigms of investment and finance. As institutional players increasingly engage with tokenized treasuries and commodities, the implications for both market participants and the larger economic framework are significant.
As RWAs continue to shape the DeFi recovery narrative, their capacity to absorb and respond to market volatility establishes them as integral components in the evolving financial landscape. The sector has already demonstrated resilience amid an uncertain economic climate, but only time will reveal the full extent of its influence in an increasingly interconnected and competitive market.
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