A prominent stablecoin issuer has revealed plans to bring its Hashnote Tokenized Money Market Fund (TMMF) under regulatory oversight in Bermuda through its existing Digital Assets Business Act (DABA) license, as announced on March 13.
Hashnote, acquired in January 2025, is the issuer of USDY, recognized as the largest tokenized treasury and money market fund with a total value locked (TVL) of $900 million, according to DefiLlama. This marks a decline from a TVL of $1.9 billion recorded on January 7.
Hashnote USYC TVL over time.
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As part of the initiative, it is intended that USDY will be fully integrated with the stablecoin USDC, facilitating access between the TMMF and the stablecoin. The organization anticipates that this move will position USDY as “the preferred option” for yield-bearing collateral on crypto exchanges, enhancing its appeal for custodians and brokers.
Bermuda has established one of the first legal frameworks for digital asset governance, with one firm being the first in the cryptocurrency sector to secure a license under the Bermuda Monetary Authority back in September 2021. The Digital Assets Business Act currently allows for three license types for firms engaging in business under its guidelines.
Tokenized RWAs as a “$30-trillion opportunity”
In August 2024, a leading figure in institutional capital at a well-known blockchain network claimed that tokenized real-world assets (RWAs) represent a $30 trillion opportunity on a global scale. The sentiment was that this momentum would likely stem from high-net-worth individuals directing funds toward alternative assets, fueled by the liquidity created in previously illiquid markets through tokenization.
Additionally, during August 2024, forecasts suggested that the market capitalization of tokenized US Treasuries would exceed $3 billion by year’s end. At present, the market cap sits at approximately $4.2 billion. Hashnote ranks as the second protocol for tokenized US Treasuries, despite experiencing a 21% decrease in market cap over the past month.
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By the end of 2024, the overall market capitalization for RWAs had surpassed $15.2 billion, significantly driven by institutional players launching tokenization initiatives across various real-world assets, including real estate, gold, diamonds, and carbon credits. The market cap briefly rose to an all-time high of $17.1 billion on February 3 but has since increased further, now reaching approximately $18.1 billion.
Tokenization is transforming several sectors of finance, enhancing liquidity for traditionally illiquid assets and employing blockchain technology for transparent and efficient transactions. Its applicability extends beyond any single asset type, thereby broadening its potential use cases.
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