Circle (CRCL) expands $ 635m tokenized treasury fund in Solana amid RWA rapid growth
Circle (CRCL), the crypto company known for the USDC Stablecoin, was introduced on Wednesday by the tokenized US Treasury funding funding to Solana, which expanded its footprint to Blockchain known for cheap transactions and fast settlement.
The move expands the USYC token beyond the Ethereum, near, base and canton network and the planned addition of the BNB chain.
Usyc is a tokenized version of a short period of money funding for the US government money. The funds can be redeemed in real time in the USDC, the Circle’s Dollar-backed Stablecoin, and is only available to non-US institutional investors who pass Know-Your-Customer (KYC) checks. That is allowed by USYC by design, in contrast to other tokens commonly used in decentralized finance (DEFI).
The broader tokenized Treasury market has seen explosion recently, which is swollen at about $ 8 billion now from $ 2.4 billion a year, showing RWA.xyz data. That increase reflects the growing appetite for institutional for real-world assets (RWAs) on blockchain metals, especially government security security. They are especially used as collateral for lending and margin trading, or as a building block for other techniques that form the yield.
With a market cap of $ 635 million, USYC is the fifth largest tokenized treasury fund, according to data from RWA.xyz.
Solana’s inclusion increases new potential use cases, including the use of USYC as a margin collateral for trading derivatives or as a Solana-based asset asset based on decentralized financial platforms (DEFI). However, USYC requires protocols to combine eligibility and wallet checks that allow-list, a obstruction that many applications will need further development to support it.
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