What is Tokenized Treasury?
A tokenized treasury is a money-market or short-term US Treasury fund issued as a blockchain token that pays yield on-chain. Examples include BlackRock's BUIDL, Ondo's OUSG and USDY, and Franklin Templeton's BENJI. Each token is backed by the fund's holdings in regulated custody.
Also called: tokenized treasuries · tokenized money market fund · BUIDL · OUSG · BENJI · USDY
How tokenized treasuries work
The fund holds short-term US Treasuries and repo. Ownership of a fund share is represented as a token; yield accrues either by the token's balance rebasing or by its price appreciating. Tokens are redeemable per the fund's terms, and several products publish Chainlink Proof-of-Reserve to attest 1:1 backing on-chain.
Leading tokenized treasuries by assets under management include BUIDL (BlackRock, issued via Securitize), OUSG and USDY (Ondo Finance), BENJI (Franklin Templeton), and USYC, together representing billions of dollars on-chain.
Frequently asked questions
Are tokenized treasuries safe?
They carry the underlying fund's risk plus smart-contract, custody, and issuer risk, and they are not FDIC-insured. The backing is short-term Treasuries, but the token wrapper adds on-chain considerations. This is information, not advice.
What yield do tokenized treasuries pay?
Broadly the prevailing short-term US Treasury rate minus fees, so the yield moves with interest rates and varies by product. Check each issuer's current rate.
Where this shows up live
On the desk
Live tokenized-treasury yields
Every figure on those pages carries its source and as-of time. Nothing is shown when the upstream is unavailable.
Read the desk note
The longer version, written from the desk: What is tokenization?.
Related terms
- Real-World Asset (RWA) — A real-world asset (RWA) in crypto is an off-chain asset — a Treasury bill, equity, fund, bond, commodity, or property — represented as a blockchain token.
- NAV Premium & Discount — NAV premium (or discount) is the gap between a tokenized asset's on-chain market price and its net asset value (NAV) — the value of the underlying share or fund.
- Deposit Token — A deposit token is a tokenized claim on a commercial-bank deposit — bank money represented on a blockchain and transferable between the bank's verified clients.
More in RWA
Informational only · not financial advice. See the live numbers on the data desk, the sourcing rules in the methodology, or the day's stories in the newsroom. · ← All glossary terms