Tokenised treasuries pass $12B, and the holder base changed

Tokenised money market and treasury products crossed twelve billion in assets during the quarter. The headline is unremarkable; the composition is not. For the first two years, the buyers were protocol treasuries parking reserves. That cohort has stopped growing.

New inflows came from corporate treasury operations and from funds using the instruments as collateral. Both care about settlement timing and about what happens on a business-day boundary, which is a different set of demands from the original cohort.

What the new buyers ask about

• Redemption mechanics at month end, when everyone wants the same thing on the same day.
• Whether the wrapper is bankruptcy-remote, and from whom exactly.
• Eligibility as collateral with their existing prime broker, which is usually the blocker.
• Reporting that reconciles to the accounting system without manual work.

The yield was never the reason. Settlement on a Sunday was the reason.

What to watch

Collateral eligibility. Until these instruments are accepted in the places conventional treasuries are accepted, the addressable buyer set stays narrow regardless of how large the number gets.