Treasuries

US Treasuries are loans to the US government, and they’re among the safest investments there are. Treasury bills, or T-bills, are the short-term kind, repaid in a year or less. Today, investors buy them through banks and brokers, and a custodian holds them. Money already on a blockchain, such as stablecoins, earns nothing from them unless it’s moved off the blockchain first.

Most tokenized Treasuries are tokens that represent shares in a fund that holds T-bills, though some represent the bonds more directly. They let investors earn a government-backed return without leaving the blockchain, move it at any hour, and use it as collateral. For crypto firms, they’re a safe place to hold cash. For traditional investors, they show a familiar asset settling faster and working around the clock. The market grew quickly: by data from RWA.xyz, tokenized Treasuries roughly quadrupled, from about $4 billion at the start of 2025 to more than $15 billion by May 2026.

BlackRock launched its BUIDL fund on Ethereum in March 2024, working with the tokenization firm Securitize. BUIDL holds cash, T-bills and repurchase agreements, and it became one of the largest tokenized Treasury funds. Ondo Finance’s OUSG token holds much of its Treasury exposure through BUIDL, which means one tokenized fund sits inside another. That’s why the question to ask of any of these products is the same: who holds the actual bonds, and what exactly does your token give you a claim to?