Arrakis Finance analyzed 71,697 buyers who collectively acquired $91.3 billion in tokenized yield products, revealing a sharp contrast in user retention between traditional finance tokenizations and crypto-native offerings. One year after purchase, 68% of investors in tokenized TradFi credit stayed engaged, compared to just 28% retention for crypto-native credit and carry products.
The study highlights a clear preference for traditional finance-backed products. Treasury-related tokenized assets also showed strong staying power, retaining 60% of their buyers over the same period. This suggests that investors trust the stability of traditional credit instruments more than emerging crypto-native options.
Where the demand comes from
Out of $12.4 billion tracked, two-thirds originated from decentralized protocol and DAO treasuries, with no direct involvement from pension funds, asset managers, or banks. Centrifuge's JAAA product stood out with a median investment size of around $29 million, triple the size of other tokenized credit offerings.
USDC dominates settlements, accounting for roughly 80% of transactions and $17.4 billion in volume. Secondary market trades remain minimal, representing less than 6% of total activity. This lack of liquidity could be a barrier to broader adoption.
Growth and use in the RWA sector
The real-world asset sector expanded by 179% year over year, surpassing $33.8 billion by mid-2026. Most investor wallets began activity around mid-2024, signaling a fairly recent surge of interest. Usage of use in these tokenized credit products remains low, limited largely to select offerings such as mF-ONE and AA_FalconXUSDC.
This content is for informational purposes and does not constitute financial advice.
