RWA sector TVL surpasses DEX, ranks as the fifth largest track in DeFi

On December 29, data shows that the Real World Assets (RWA) sector has become one of the most prominent growth areas in DeFi by 2025. According to DefiLlama, the RWA sector has surged to the fifth largest category in DeFi by TVL, surpassing the DEX sector. Currently, RWA TVL is approximately $17 billion, a significant increase from about $12 billion in Q4 2024. DefiLlama pointed out that at the beginning of the year, RWA had not even entered the top ten DeFi tracks, demonstrating its rapid evolution from a fringe experiment to a core DeFi infrastructure. Kronos Research Chief Investment Officer Vincent Liu stated that the growth of RWA is mainly driven by balance sheet demand rather than conceptual experimentation. In an environment where “high interest rates persist longer,” tokenized US Treasuries and private credit have become attractive on-chain yield assets, while increased regulatory clarity has also reduced friction for institutional entry. Structurally, Ethereum remains the main platform for RWA issuance and settlement, with public chains like BNB Chain, Avalanche, Solana, Polygon, and Arbitrum occupying smaller shares; meanwhile, permissioned networks such as Canton Network dominate on the institutional side. Analysts believe that tokenized US Treasuries remain the core entry product for RWA, and as gold and silver prices strengthen, tokenized commodities are attracting more capital. RWA is expected to move from a “yield narrative” in 2026 to macro-level assets and neutral collateral.