In 2025, decentralised finance (DeFi) is evolving beyond speculative tokens and yield farming. Leading protocols are increasingly turning to Real-World Assets (RWAs) to generate stable, off-chain yields that are less correlated with crypto market volatility. This strategic shift is redefining how DeFi platforms approach risk, yield, and sustainability.

What Are Real-World Assets?

RWAs are digital tokens representing ownership of tangible, off-chain assets — such as U.S. Treasury bills, private credit loans, real estate, and commodities. Unlike purely digital assets like Bitcoin or Ethereum, RWAs derive their value from underlying physical or financial instruments, providing a bridge between traditional finance and DeFi.

Tokenising these assets allows DeFi protocols to offer yield-bearing products that are less susceptible to the high volatility typically associated with cryptocurrencies. This integration is attracting institutional interest and expanding the DeFi ecosystem’s appeal to a broader range of investors.

Why Are Top Crypto Protocols Going Off-Chain for Yield?

1. Stability and Predictability

Off-chain RWAs offer yields that are more stable and predictable compared to the fluctuating returns from on-chain assets. For instance, tokenized U.S. Treasuries have provided yields averaging 3% higher than those available through DeFi lending protocols like AAVE and Compound. This stability is particularly appealing during periods of crypto market downturns.

2. Attracting Institutional Capital

The integration of RWAs into DeFi platforms is facilitating the entry of institutional investors into the space. Tokenisation provides a compliant and transparent framework that aligns with traditional financial regulations, making DeFi more accessible to institutional players.

3. Diversification of Yield Sources

By incorporating RWAs, DeFi protocols can diversify their yield sources beyond native token incentives and liquidity mining. This diversification reduces reliance on volatile token emissions and enhances the long-term sustainability of yield offerings.

Examples of RWA Integration in DeFi

MakerDAO: Through its Endgame plan, MakerDAO is integrating tokenised U.S. Treasuries into its ecosystem, aiming to provide stable yields while maintaining decentralisation.

Pendle Finance: Pendle allows users to tokenise and trade future yields of RWAs, such as tokenised private credit and real estate, bridging the gap between traditional finance and DeFi.

Kasu: Kasu taps into private credit markets, offering yields up to 25% APY without relying on token emissions or volatile liquidity pools, providing a more stable yield source for DeFi users.

The Future of RWAs in DeFi

The tokenisation of RWAs is poised to unlock trillions of dollars in value, democratising access to high-quality, yield-bearing assets. As regulatory frameworks evolve and technology advances, the integration of RWAs into DeFi platforms is expected to accelerate, offering investors a more diversified and stable yield landscape.

Protocols like OpenTrade are at the forefront of this movement, providing infrastructure that enables the seamless integration of RWAs into DeFi ecosystems, empowering users to access real-world yields within a decentralized framework. OpenTrade does this through a B2B2C “yield‑as‑a‑service” model, enabling fintechs and neobanks to embed real-world asset-backed yields directly into their customer experiences:

Use Cases

Littio (Colombian neobank): Uses OpenTrade’s USDC “Yield Pots” on Avalanche to offer dollar-denominated savings with up to ~6% APR, helping users protect against peso devaluation. Over $80 M processed and ~$250 K in returns in four months.

Criptan (Spanish fintech): Integrates USDC/EURC yield products via OpenTrade to power its “Earn” account, offering 2–10% APY with no lock-ups or minimums, over €500 K paid out so far.

Belo (Latin American neobank): Embeds OpenTrade yield services to offer stablecoin savings options across the region — part of the 5 million+ users now accessing 3–9% APR on USD/EUR.

BuenBit (Argentina): Integrates OpenTrade to allow users to earn daily interest on stablecoin balances via its local app, providing access to higher-yield savings in an inflationary environment.

Benefits

For end users: Easy mobile access to 3–9% APR on USD/EUR holdings - far outpacing local bank rates (e.g., 0.4% in Colombia).

For fintechs: Fast go-to-market with fully compliant yield products, no legal or custody buildout, plus seamless custodial and regulatory support.

For investors/institutions: Transparent, auditable yield through real-world assets like US Treasuries held in bankruptcy-remote SPVs managed by regulated custodians.

For global reach: Scales across LATAM and Europe, serving over 5 million users and managing $47M+ in assets with $174M–$200M+ in transaction volume.