Real-World Asset (RWA) Backed Stablecoins: How USDY, BUIDL, and BENJI Unlock Yield
Real-world asset (RWA) backed stablecoins have rapidly transformed on-chain finance, providing investors with a powerful blend of yield, transparency, and the stability of traditional assets. By collateralizing digital tokens with U. S. Treasuries and similar instruments, these stablecoins bridge the gap between TradFi’s reliability and DeFi’s accessibility. In this article, we’ll explore how USDY, BUIDL, and BENJI are unlocking passive income in today’s crypto markets, while keeping a close eye on risk and regulatory nuance.
How RWA-Backed Stablecoins Generate Yield
The core innovation behind RWA-backed stablecoins lies in their collateral: instead of relying solely on crypto assets or algorithmic mechanisms, they are anchored by tokenized U. S. Treasury bills, money market funds, or cash deposits. The yield from these underlying assets is passed directly to token holders, offering a compelling alternative to zero-yield stablecoins like USDC or USDT.
This model is gaining traction as investors seek safer returns amid persistent volatility elsewhere in DeFi. According to recent data, the market for tokenized Treasuries has grown over 900% year-over-year, now exceeding $7.3 billion. Let’s break down how each of the top three RWA-backed stablecoins works, and what makes them unique for yield-seekers.
Ondo USDY: Yield-Bearing Stability with Real-Time Price Action
Ondo USDY (USDY) stands out as a permissionless yield-bearing stablecoin designed for non-U. S. investors. Each USDY token is backed by short-term U. S. Treasury bonds and bank deposits, with interest from these assets causing the value of USDY to appreciate over time. Unlike rebasing stablecoins that adjust balances daily, USDY’s price gradually rises as yield accrues, reflected in its current price of $1.09.
6-Month Price Comparison: RWA-Backed Stablecoins vs. Major Cryptocurrencies
Performance of USDY, BUIDL, BENJI, and benchmark assets over the past 6 months (as of 2025-09-19)
| Asset | Current Price | 6 Months Ago | Price Change |
|---|---|---|---|
| USDY Stablecoin (USDY) | $1.09 | $1.00 | +8.9% |
| BUIDL Stablecoin (BUIDL) | $0.001054 | $0.001000 | +5.4% |
| BENJI Stablecoin (BENJI) | $0.0123 | $0.0120 | +2.2% |
| Tether (USDT) | $1.00 | $1.00 | +0.0% |
| USD Coin (USDC) | $0.9999 | $1.00 | -0.0% |
| Dai (DAI) | $0.9999 | $1.00 | -0.0% |
| Bitcoin (BTC) | $116,899.00 | $65,000.00 | +79.8% |
| Ethereum (ETH) | $4,536.85 | $3,500.00 | +29.6% |
Analysis Summary
RWA-backed stablecoins like USDY, BUIDL, and BENJI have demonstrated modest but positive price appreciation over the past 6 months, reflecting their yield-bearing nature. In contrast, traditional stablecoins such as USDT, USDC, and DAI have maintained their pegs with negligible price movement. Meanwhile, major cryptocurrencies Bitcoin and Ethereum have experienced substantial gains, highlighting the bullish momentum in the broader crypto market.
Key Insights
- USDY outperformed other RWA-backed stablecoins with an +8.9% increase, reflecting its yield accrual model.
- BUIDL and BENJI also posted positive returns (+5.4% and +2.2%, respectively), outperforming non-yielding stablecoins.
- Traditional stablecoins (USDT, USDC, DAI) remained stable, showing virtually no price change over 6 months.
- Major cryptocurrencies (BTC, ETH) saw significant price appreciation, indicating strong market performance outside the stablecoin sector.
All prices and 6-month changes are sourced directly from the provided real-time market data as of 2025-09-19. Only assets with explicit price data have been included in the comparison.
Data Sources:
- Main Asset: https://coinmarketcap.com/currencies/ondo-us-dollar-yield/usdy/btc/
- BUIDL Stablecoin: https://www.coingecko.com/en/coins/beta-finance/historical_data
- BENJI Stablecoin: https://www.coingecko.com/en/coins/2025-token/historical_data
- Tether: https://finance.yahoo.com/markets/crypto/all/
- USD Coin: https://finance.yahoo.com/markets/crypto/all/
- Dai: https://finance.yahoo.com/markets/crypto/all/
- Bitcoin: https://finance.yahoo.com/markets/crypto/all/
- Ethereum: https://finance.yahoo.com/markets/crypto/all/
Disclaimer: Cryptocurrency prices are highly volatile and subject to market fluctuations. The data presented is for informational purposes only and should not be considered as investment advice. Always do your own research before making investment decisions.
As of July 2025, USDY boasted a market capitalization of $175.3 million on Solana, the largest among yield-bearing RWAs on that chain (source). This growth underscores investor appetite for transparent and regulated exposure to U. S. -denominated yields without leaving the blockchain ecosystem.
BUIDL and BENJI: Institutional-Grade On-Chain Money Markets
BUIDL (BlackRock U. S. Dollar Institutional Digital Liquidity Fund) represents another leap forward in tokenized RWAs. Launched by BlackRock in March 2024 and now available on both Ethereum and Solana, BUIDL holds cash and short-term Treasuries, mirroring a traditional money market fund but distributing dividends daily to accredited investors who complete KYC checks.
BUIDL maintains a steady $1 value while offering risk-adjusted yields just under 2%, making it attractive for institutions seeking regulatory clarity alongside blockchain efficiency (source). Its current market cap stands at $25.23 million on Solana as of July 2025.
BENJI (Franklin OnChain U. S. Government Money Fund), meanwhile, democratizes access to institutional-grade yields by representing shares in Franklin Templeton’s SEC-registered FOBXX fund, investing in government securities and repurchase agreements with daily interest accruals.
BENJI maintains a $1 peg while allowing retail users to tap into regulated money market exposure via the Benji mobile app, a major milestone for mainstream adoption of tokenized RWAs. As of July 2025, BENJI was the fifth-largest yield-bearing RWA on Solana with a $25.9 million cap.
Top RWA-Backed Stablecoins Unlocking On-Chain Yield
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Ondo USDY (USDY): Issued by Ondo Finance, USDY is a yield-bearing stablecoin backed by short-term U.S. Treasury bonds and bank deposits. Designed for non-U.S. investors, USDY’s value appreciates as interest accrues from the underlying assets. As of July 2025, USDY had a market capitalization of $175.3 million on Solana, making it the largest yield-bearing RWA on the network. Current price: $1.09.
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BlackRock USD Institutional Digital Liquidity Fund (BUIDL): BUIDL is a tokenized U.S. dollar money market fund developed by BlackRock, holding cash and short-term U.S. Treasuries. It maintains a stable $1 value and distributes dividends daily, but is only accessible to accredited investors who complete KYC. Launched on Ethereum in 2024 and expanded to Solana in 2025, BUIDL had a market capitalization of $25.23 million on Solana as of July 2025.
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Franklin OnChain U.S. Government Money Fund (BENJI): BENJI represents shares of Franklin Templeton’s SEC-registered FOBXX money market fund, investing in U.S. government securities, cash, and repos. Launched in 2021 and available to retail investors via the Benji app, BENJI maintains a stable $1 value and accrues daily yield. As of July 2025, BENJI had a market capitalization of $25.9 million on Solana.
The Appeal: Stable Yield Without Sacrificing Liquidity
The appeal of these RWA-backed stablecoins is clear: they deliver predictable income streams without exposing holders to wild price swings typical of most crypto assets. Yields are generally competitive with traditional savings accounts or DeFi lending platforms, but come with greater transparency around collateralization and regulatory oversight.
With products like USDY currently trading at $1.09, savvy investors are watching both price appreciation from accrued yield and overall liquidity trends across chains like Solana and Ethereum.
USDY, BUIDL, BENJI RWA-Backed Stablecoin Price/Yield Predictions (2026-2031)
Forecasted annual price ranges and average yields for leading RWA-backed stablecoins: USDY, BUIDL, and BENJI. Based on current market data, regulatory outlook, adoption trends, and yield projections.
| Year | Minimum Price/Yield | Average Price/Yield | Maximum Price/Yield | Annual % Change (Average) | Market Scenario Insights |
|---|---|---|---|---|---|
| 2026 | $1.08 (1.8%) | $1.11 (1.95%) | $1.14 (2.10%) | +1.8% | Yield tracks US Treasury rates; stable price with minor appreciation from yield accrual. Regulatory clarity expected to support moderate growth. |
| 2027 | $1.09 (1.7%) | $1.13 (1.90%) | $1.16 (2.08%) | +1.8% | Increasing adoption as institutional access improves. Competition from new RWA products keeps yields competitive. |
| 2028 | $1.10 (1.6%) | $1.15 (1.85%) | $1.19 (2.05%) | +1.8% | Technology upgrades (cross-chain, improved transparency) drive slight growth. US interest rates expected to plateau, slowing yield increases. |
| 2029 | $1.11 (1.5%) | $1.17 (1.80%) | $1.22 (2.00%) | +1.7% | Market matures; yields stabilize. Regulatory harmonization in major markets boosts confidence. Some upside from DeFi integration. |
| 2030 | $1.12 (1.4%) | $1.19 (1.75%) | $1.25 (1.95%) | +1.7% | RWA-backed stablecoins become mainstream in DeFi and TradFi bridges. Yield compression as more capital enters market. |
| 2031 | $1.13 (1.3%) | $1.20 (1.70%) | $1.27 (1.90%) | +1.5% | Market saturation in yield products; price appreciation slows as yields converge with traditional finance. Further growth depends on broader adoption and new integrations. |
Price Prediction Summary
USDY, BUIDL, and BENJI are forecasted to maintain stable prices with moderate appreciation over the next six years, driven by accumulated yield from US Treasuries. Average returns are expected to track underlying interest rates, with prices gradually rising year over year. Regulatory clarity, increased adoption, and integration with both DeFi and TradFi systems will be key to maintaining growth, but yields may compress as the market matures and competition grows.
Key Factors Affecting USDY Stablecoin Price
- US Treasury yield trends (primary yield driver for RWA-backed stablecoins)
- Regulatory clarity and global harmonization for tokenized securities
- Adoption by institutional and retail investors
- Technological improvements (multi-chain support, transparency, compliance tooling)
- Competition from new RWA and yield-bearing products
- Macro-economic factors impacting interest rates and risk appetite
Disclaimer: Cryptocurrency price predictions are speculative and based on current market analysis.
Actual prices may vary significantly due to market volatility, regulatory changes, and other factors.
Always do your own research before making investment decisions.
For investors accustomed to the risks of algorithmic or crypto-collateralized stablecoins, the RWA-backed approach offers a refreshing degree of clarity. Each token is transparently collateralized, with regular attestations and regulatory filings ensuring that every dollar is accounted for. This is especially significant as on-chain finance matures and institutional capital flows into DeFi.
Risks and Considerations for Yield Seekers
Despite their advantages, RWA-backed stablecoins are not without risk. Investors must consider counterparty exposure, since assets like USDY, BUIDL, and BENJI rely on trusted custodians and issuers to manage underlying securities. Regulatory shifts could also impact the availability or structure of these products, particularly for non-U. S. participants or those seeking full permissionless access.
Liquidity is another factor: while USDY boasts deep pools on chains like Solana, BUIDL and BENJI may have more limited secondary market activity due to KYC requirements or institutional focus. Always research redemption processes and potential lock-up periods before committing significant capital.
Comparing Yield-Bearing RWA Stablecoins
Comparison of RWA-Backed Stablecoins: USDY, BUIDL, BENJI
| Token | Collateral Type | Yield Model | Investor Eligibility | Market Cap (July 2025) |
|---|---|---|---|---|
| USDY (Ondo U.S. Dollar Yield) | Short-term U.S. Treasury bonds & bank deposits | Value appreciates as interest accrues (non-rebasing) | Non-U.S. investors | $175.3 million |
| BUIDL (BlackRock USD Institutional Digital Liquidity Fund) | Cash & short-term U.S. Treasuries (money market fund) | Stable $1 value, daily dividend distribution (rebasing) | Accredited investors (KYC required) | $25.23 million |
| BENJI (Franklin OnChain U.S. Government Money Fund) | U.S. government securities, cash, repurchase agreements (mutual fund) | Stable $1 value, daily interest accrual (rebasing) | Retail investors (via Benji app) | $25.9 million |
As seen in the comparison above, each stablecoin serves a slightly different user base. USDY excels in permissionless accessibility and price appreciation from yield accrual (currently at $1.09). BUIDL appeals to accredited investors seeking daily dividends with robust compliance through BlackRock’s infrastructure. BENJI opens the doors for retail users to participate in SEC-registered money markets directly from their wallets.
The Road Ahead: RWA Stablecoins Shaping On-Chain Passive Income
The explosive growth of tokenized Treasuries, now surpassing $7.3 billion, signals a fundamental shift in how investors approach stablecoin yields (source). As more financial institutions tokenize traditional assets and regulators clarify frameworks for on-chain RWAs, expect competition among products like USDY, BUIDL, and BENJI to intensify.
This evolution will likely drive further innovation in composability (integrating with DeFi protocols), cross-chain liquidity solutions, and tailored offerings for both retail and institutional clients. For now, yield-bearing RWA-backed stablecoins represent one of the most promising ways to earn passive income while maintaining exposure to dollar-denominated stability.
Jessica Rowland, CFA – “Clarity and caution drive sustainable gains. ” For timely updates on yield-bearing stables like USDY, BUIDL, and BENJI, and deeper dives into risk management, stay tuned to Stable Coin Alerts.
