RWAs are going up and to the right.
With tokenized stocks, bonds, private credits, and commodities, over $16 billion has already moved onchain. But a lot of this capital sits in vanilla pools with no DeFi spice.
What does it take to plug RWAs into complex yield strategies?
Private credit proves it won't be straightforward to marry RWAs with DeFi.
Starting the year at $130m TVL, tokenized credit ballooned to over $1.5bn today.
But due to compliance and KYC mandates, redemption timelines and novelty, it stayed a pretty isolated source of yield.
This is changing fast, however.
In July, @gauntlet_xyz launched the first levered private credit DeFi strategy with Apollo's ACRED:
- Use sACRED as collateral on @MorphoLabs
- Borrow USDC
- Acquire more sACRED
- Repeat
The vault auto-adjusts to real-time market conditions.
Other RWAs are also getting more DeFi-native.
The sBUILD strategy by @Re7Labs was the first direct DeFi integration for a tokenized treasury product.
Live on @eulerfinance, it enables easy looping and unlocks sBUIDL as multi-purpose collateral.
As infrastructure matures, RWAs will evolve from isolated wrappers into programmable yield primitives.
Today, it's looping. Tomorrow they’ll collateralize perps, integrate with fixed-income markets, and pair with DeFi hedging or leverage layers.
This is where RWAs are becoming primitives. The moment they can sit next to stETH, USDe, or Pendle PTs inside vaults, yield design stops being siloed.
Fixed income meets leverage, hedging, and delta-neutral strategies – all onchain.
That’s the frontier Mellow builds for – modular vault infrastructure where any yield source, from T-bills to restaked ETH, composes into structured products.
TradFi-grade assets, DeFi-native logic. The rails for the next trillion in onchain assets.
Want to learn more about Mellow?
Find the info at:
Discord:
Substack:
Website:
3.84K
1
The content on this page is provided by third parties. Unless otherwise stated, OKX is not the author of the cited article(s) and does not claim any copyright in the materials. The content is provided for informational purposes only and does not represent the views of OKX. It is not intended to be an endorsement of any kind and should not be considered investment advice or a solicitation to buy or sell digital assets. To the extent generative AI is utilized to provide summaries or other information, such AI generated content may be inaccurate or inconsistent. Please read the linked article for more details and information. OKX is not responsible for content hosted on third party sites. Digital asset holdings, including stablecoins and NFTs, involve a high degree of risk and can fluctuate greatly. You should carefully consider whether trading or holding digital assets is suitable for you in light of your financial condition.