BlackRock bleeds cash on the tokenized U.S. Treasuries

Ethereum’s been holding court, controlling 70% of the tokenized Treasury market, think $5.3 billion worth of Treasuries, bonds, and cash equivalents locked in on its network.

That’s the lion’s share of the entire $7.46 billion market. It’s like running the hottest nightclub in town, where everyone wants in. But something just happened.

Fresh liquidity

Now, here comes Fidelity, strutting onto the dance floor with its shiny new toy, the Fidelity Digital Interest Token, aka FDIT.

With this move, Fidelity just tossed its hat into a ring crowded with nearly 50 tokenized Treasury offerings.

The big question? Will FDIT spark fresh liquidity, jazz up Ethereum’s DeFi setup, and maybe take a chunk of BlackRock’s big slice?

BlackRock’s still flexing hard with its Institutional Digital Liquidity Fund, boasting $2.2 billion across several blockchains.

But while BlackRock’s bleeding about $150 million in week-long outflows, Fidelity’s FDIT is pulling in fresh cash like it’s winning the jackpot.

In a short time, FDIT amassed over $200 million on Ethereum alone, vaulting into the top 10 Treasury tokens.

It’s a classic on-chain game of musical chairs, Fidelity’s sitting down while BlackRock’s still searching.

70% dominance

Every FDIT token stands for a slice of FYOXX, a promise backed by safe U.S. Treasuries.

This move perfectly showcases Ethereum’s muscle as the preferred playground for institutional players diving into real-world assets on DeFi layers.

And tokenized U.S. Treasuries make up nearly 27% of the entire RWA mountain. Over a quarter of all on-chain real-world assets? Locked in low-risk, government-backed, yield-generating goodies.

No other chain even comes close, Ethereum commands 70% dominance, while rivals like Stellar trail far behind at 6%.

Source: Rwa.xyz/networks/ethereum

Even stablecoins, which dominate with 95%, can’t overshadow the steady pull of these Treasury tokens, making up 3.15% of Ethereum’s market alone.

Boss move

Fidelity’s splash with FDIT only tightens Ethereum’s grip, tapping into the network’s deep liquidity and developer savvy.

It’s the kind of move that builds market share like stacking chips on a winning hand, slow and steady, but with eyes on the big prize.

So, it looks like Ethereum is owning the institutional DeFi game. Fidelity shaking things up while BlackRock scrambles?

That’s the new show in the tokenized Treasury sector, a mix of muscle, money, and boss moves. A real blockbuster, with DeFi’s future sitting center stage.