Analysis: Funds shifting from DeFi to RWA indicate market maturity rather than capital withdrawal

2026-02-20 04:26:46

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Deep Tide TechFlow News, February 20 — According to Decrypt, despite the overall weakness in the cryptocurrency market, tokenized real-world assets (RWA) grew by 8.7% over the past month to $24.8 billion, while the total value locked (TVL) in decentralized finance (DeFi) decreased by 25% to $94.8 billion during the same period.

According to RWA.xyz data, the distributed asset values of tokenized U.S. Treasuries, commodities, and private credit increased by 10%, 20%, and 15%, respectively, reaching $10.7 billion, $6.9 billion, and $2.9 billion.

Sergej Kunz, co-founder of 1inch, told Decrypt that this divergence reflects capital rotation within the crypto ecosystem rather than withdrawals. He stated, “DeFi yields are being compressed, while tokenized government bonds offer 4% on-chain returns with minimal risk. People are not leaving this space but entering it in a slightly less risky way.” Rico van der Veen, CEO of Programmable Credit Protocol, believes that RWA protocols provide enforceable rights, regulatory clarity, and cash flows that do not rely on token issuance, which DeFi cannot offer.

DEFI2,48%

RWA1,27%

1INCH3,12%

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