The post How BlackRock just lost control of the $10B tokenized Treasury market to Circle for one simple, mechanical reason appeared on BitcoinEthereumNews.com.

Tokenized US Treasuries crossed $10 billion in total value this week, a milestone that confirms the category has moved from proof-of-concept to operational infrastructure. Yet, something happening underneath this achievement is just as important: Circle’s USYC has edged past BlackRock’s BUIDL as the largest tokenized Treasury product, signaling that distribution rails and collateral mechanics now matter more than brand recognition in determining which on-chain cash equivalents win. As of Jan. 22, USYC holds $1.69 billion in assets under management compared to BUIDL’s $1.684 billion, a gap of roughly $6.14 million, or 0.36%. Over the past 30 days, USYC’s assets grew 11% while BUIDL’s contracted 2.85%, a divergence that reads less like marketing success and more like net creation flowing in one direction while redemptions drain the other. This isn’t a story about Circle beating BlackRock in a brand war. It’s about collateral workflow design outperforming logo recognition. Additionally, it maps directly onto the infrastructure question that regulators and institutions are now asking out loud: who shapes the stack that turns idle crypto capital into productive, yield-bearing collateral? Related Reading Tokenized Treasuries skyrocketed 125%, creating this “programmable cash” loop that banks are scrambling to copy Tokenized RWAs are dominated by Ethereum, but one unexpected blockchain rival just surged 28% to outpace the leader. Jan 10, 2026 · Gino Matos Distribution plus collateralization beats brand USYC’s clearest structural advantage is distribution through exchange collateral rails. On July 24, Binance announced that institutional customers could hold USYC and use it as off-exchange collateral for derivatives, with custody handled through Banking Triparty or Ceffu and near-instant redemption into USDC. Binance added BUIDL to its off-exchange collateral list on Nov. 14, four months after USYC. That sequencing matters. If the cash collateral stack is built first inside prime brokerage and derivatives workflows, the product that…

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Filed under: News - @ January 25, 2026 8:23 pm