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      Pantera Capital Reports 81% of Tokenized Treasury Value is Held, Not Traded

      Pantera Capital's Q1 2026 tokenization report indicates that the market for tokenized assets has reached a total value of approximately $321 billion, reflecting a significant growth of 60% from $201 billion in 2024. Despite this growth, the report reveals that 81% of the value in tokenized US Treasuries, which have crossed the $12 billion mark, is held rather than actively traded, suggesting a lack of a vibrant secondary market for these digital bonds.

      The report surveyed 593 tokenized assets across 11 categories, finding that 77.6% are classified as 'wrappers,' essentially serving as blockchain receipts for off-chain assets. Only 2.7% of the assets were identified as truly native tokens, with the remainder relying on traditional custodians and intermediary-dependent processes for minting and redemption. The average score on Pantera's Tokenization Progress Index (TPI) was 2.04 out of 5, indicating limited progress towards full on-chain functionality, particularly in issuance and redemption features, which scored even lower at 1.82.

      Stablecoins dominate the tokenized asset market, comprising approximately $293 billion, or 91.6% of the total market value. They also achieved the highest average TPI score of 2.67. Tokenized US Treasuries ranked as the second-largest category, driven largely by institutional products from firms like BlackRock and Franklin Templeton, which primarily function as wrappers with limited trading activity.

      The report also highlighted a surge in new tokenized assets, with 168 launched in 2025, marking a 115% increase from the previous year. Most of these new products are categorized as wrappers, indicating a trend towards rapid market entry rather than comprehensive on-chain integration. In contrast, private credit assets showed higher engagement with decentralized finance (DeFi) protocols, with penetration rates ranging from 21.4% to 64.3%, outperforming Treasuries and other asset classes.

      © 2026 KLEA News. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

      Source: KLEA News

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