Only 10% of Tokenized RWAs Are Active in DeFi | Infrastructure Bottleneck Exposed

A recent report from BitMart, Dune, RedStone, and Optimism reveals startling insights about real-world assets (RWAs). Amid a rapidly expanding market, only 10% of tokenized RWAs find utility in decentralized finance (DeFi) collateral, leaving a staggering 90% stalled in wallets.

The Current State of Tokenized RWAs

As of April 2026, the total value locked (TVL) in on-chain RWAs (excluding stablecoins) has surged to nearly $30 billion, nearly five times the amount from early 2025. However, the potential remains largely unfulfilled as a vast majority are not actively utilized.

Key Findings: A Closer Look

• Tokenization and Usage Ratio: RWAs are valued at $27 billion; only $2.7 billion is utilized in DeFi platforms.

• Private Credit vs Treasuries: Treasuries account for 48.5% of tokenized assets but only 2% are in DeFi. Contrastingly, private credit, holding 17%, has around 80% in active usage. The main driver? Yield economics.

"Yield economics really drive adoption," a user commented, pointing to the stark contrast in active usage.

Factors Hindering Growth

The report identifies three main barriers contributing to the composability gap:

1. Custody Standards: Security measures are not robust enough for large-scale adoption.

2. Cross-Chain Liquidity: Limited liquidity options restrict efficient trading and utilization.

3. Institutional Reporting: Lack of clear reporting structures hampers wider participation from high-net-worth individuals (HNWIs).

Interestingly, companies like BlackRock have seen considerable growth from $200 million to significant assets under management (AUM) thanks to brand trust and compliant custody partnerships with BNY Mellon and Securitize.

The Picture for High-Net-Worth Individuals

The global HNW/UHNW market, which boasts nearly $90 trillion in investable assets, presents a massive opportunity. A mere 5% allocation could expand the current RWA market by 160 times. This highlights the potential for capital efficiency and growth, which users are eager to see materialize.

Quotes Reflecting User Sentiment

Several comments from forums emphasize the urgency of action in this space:

• "Seeing that idle capital finally get put to work is crucial for market maturity. 🚀"

• "RWA adoption isn’t lacking demand — it’s lacking usable infrastructure."

These perspectives reflect a mix of optimism and frustration that resonates across the community.

Key Insights

• △ On-chain RWA TVL nearly 5x growth since early 2025.

• ▽ Only 10% of tokenized RWAs actively used in DeFi.

• ※ "The composability gap is the biggest takeaway here."

As the DeFi landscape evolves, a collective push for necessary infrastructural improvements might pave the way for untapped capital to become active players in the market.

What Lies Ahead for Tokenized RWAs

With the current infrastructure challenges, experts estimate there’s a strong chance that significant advancements in custody standards and cross-chain liquidity will emerge over the next few years. This could happen thanks to increasing institutional interest and investment in the DeFi sector, which may push market players to enhance their offerings. If these improvements unfold, analysts project that the active utilization of tokenized RWAs could double within the next 18 months. Such growth would not only benefit asset managers but also create more opportunities for high-net-worth individuals looking to tap into a burgeoning market.

A Non-Traditional Comparison

Drawing a parallel to historical moments, consider the 19th-century railroads in the United States. As track systems expanded, the massive potential for goods transportation was hampered by outdated infrastructure and safety concerns. Initially, many railroads remained underused due to limited access and outdated practices. It wasn’t until significant investments were made in bridges and safety protocols that the industry saw explosive growth. Much like the railroads, the current RWA market stands at a similar juncture, ripe for expansion but held back by inadequate infrastructure and systemic limitations.