DTCC Tokenization Pilot and RWA Infrastructure: What Changed This Week — 26-31 Dec 2025

Tokenization is no longer a speculative experiment—it’s becoming the backbone of modern financial infrastructure. This week, we saw major milestones in regulatory acceptance, institutional adoption, and infrastructure build-out. From DTCC’s tokenization pilot securing SEC approval to BlackRock’s $2 billion BUIDL fund proving institutional demand, the shift from traditional rails to programmable settlement layers is accelerating.

Key Developments

1. DTCC Tokenization Pilot: SEC Approves Path for Collateral Mobility

The Depository Trust & Clearing Corporation (DTCC) received SEC no-action relief for its tokenization pilot, allowing highly liquid securities like U.S. Treasuries, Russell 1000 equities, and ETFs to be tokenized. Importantly, the DTC remains the authoritative ledger while distributed ledger technology (DLT) serves as a mobility layer. The pilot is set to launch in H2 2026, focusing on 24/7 settlement, collateral mobility, and programmable transactions. This hybrid model integrates blockchain without disrupting existing settlement pathways. DTCC processes over $2 quadrillion annually, making this a landmark for institutional adoption. DTCC, 26 Dec 2025

2. BlackRock BUIDL Fund Crosses $2B AUM

BlackRock’s BUIDL tokenized treasury fund reached $2 billion in assets under management (AUM) and distributed $100 million in dividends in 2025. This milestone validates institutional appetite for on-chain yield products. BUIDL has captured 32% of the tokenized treasury market, which now totals $7.3 billion in AUM, a 256% year-over-year increase. Ethereum hosts 70% of these tokenized assets, underscoring its dominance as a settlement layer for real-world assets (RWAs). Decrypt, 31 Dec 2025

3. Visa Expands USDC Settlement in the U.S.

Visa announced the expansion of its USDC settlement programme to the United States, building on its $3.5 billion annualised pilot. Issuers and acquirers can now settle obligations through Circle’s USDC stablecoin over the Solana blockchain. This enables 7-day settlement windows, improving upon traditional 5-day systems. With programmable wallets, transactions can trigger smart contracts for real-world outcomes. Visa’s adoption of blockchain-based settlement rails highlights the growing institutional demand for programmable money. Visa, 29 Dec 20254. Ethereum Hits Record Infrastructure Activity

Ethereum saw 8.7 million smart contracts deployed in Q4 2025, a quarterly record. Contract activity was driven by tokenized assets, stablecoins, and settlement infrastructure. This surge demonstrates sustained builder momentum, with Ethereum cementing its role as the primary settlement layer for tokenization. Data from Token Terminal suggests this activity reflects real economic use cases rather than speculative trends. CoinTelegraph, 31 Dec 2025

5. Stablecoin Regulation Diverges Globally

Regulatory frameworks for stablecoins are fragmenting. While the GENIUS Act created the first federal framework in the U.S., China is gaining a competitive edge by pairing its digital yuan with yield-bearing features. The global stablecoin market reached $305 billion in market cap and $52.9 trillion in transaction volumes this year, surpassing Visa and Mastercard combined. These regulatory dynamics will shape the future of programmable money infrastructure. The Block, 30 Dec 2025

6. RWA Market Triples to $18.6B in 2025

The market for tokenized real-world assets (RWAs) grew from $5.5 billion to $18.6 billion in 2025, a 238% increase. This includes $7.3 billion in tokenized Treasuries, $8.6 billion in private credit, and $5.4 billion in real estate. Analysts project the RWA market could reach $2-4 trillion by 2030, driven by emerging markets and institutional adoption. RWA.xyz, 28 Dec 2025

Why This Matters

This week’s developments highlight a structural shift in financial markets. Tokenization is no longer a niche experiment; it’s becoming production-grade infrastructure. DTCC’s pilot shows how tokenization can enhance collateral mobility without disrupting existing systems. With Visa’s programmable money rails and a $7.3 billion tokenized treasury market, we’re seeing the emergence of a 24/7 financial system.

For institutional stakeholders, these milestones address longstanding inefficiencies. Tokenized Treasuries and RWAs provide liquidity, fractional ownership, and atomic settlement, unlocking new capital efficiencies. For policymakers, the divergence in stablecoin regulation highlights the importance of cohesive frameworks to maintain competitive advantages. Emerging markets, in particular, could leapfrog legacy banking systems by adopting tokenized infrastructure.

Looking forward, the bottlenecks are clear. Scaling tokenization will require robust Know Your Asset (KYA) protocols, runtime auditing, and verification infrastructure. The recent fraudulent Circle announcement exposed the industry’s vulnerability to fake claims, underscoring the need for standardised attestation layers. Without this, systemic risks could undermine trust in tokenized ecosystems.

Picking Take

When DTCC tokenizes $2 quadrillion in annual transactions, it’s not hype—it’s infrastructure evolution. With $7.3 billion in tokenized Treasuries and $3.5 billion in Visa’s USDC settlements, assets are becoming APIs for the financial system. The next 18 months will see a race to build KYA and runtime audit layers. This isn’t speculation—it’s the financial plumbing of the 2030s taking shape today.