RWA market is gaining momentum: Grvt strengthens its position in USDY by $100 million, Coinbase establishes itself in the UAE
The real-world asset (RWA) tokenization sector continues to demonstrate explosive growth, and recent developments clearly confirm this. Hybrid CeDeFi platform Grvt has announced a strategic partnership with issuer Ondo Finance. Over the next twelve months, the exchange intends to grow its position in the tokenized product USDY to $100 million. This is a serious commitment, especially considering that the instrument is backed by US Treasury bonds.
Partnership mechanics and yield
The key element of the deal is the integration of an annual percentage yield (APY) of 3.5% into the base rate of the Grvt Earn product. Platform users already receive rewards for providing liquidity, including through integration with the Aave protocol. Now, an institutional RWA component is being added to this yield pool, making the product more attractive to conservative investors seeking stable passive income on the blockchain.
Based on my estimates, drawn from analytics platform data, Ondo Finance's current assets under management (AUM) stand at approximately $2.59 billion. The distribution structure looks as follows:
- USDY — $2.1 billion, deployed across eight networks;
- OUSG — $500 million, available only to qualified US investors.
Thus, Grvt's planned $100 million position represents nearly 3.8% of the entire current USDY volume. This is not merely a speculative purchase, but a deliberate infrastructural investment that elevates tokenized bonds from a niche product category to a full-fledged base layer for DeFi platforms.
Strategic context for Ondo and Grvt
For Ondo Finance, this partnership is an elegant solution to the distribution problem that has long been a bottleneck in scaling USDY. Instead of directly targeting the retail market, the company gains access to Grvt's user base, expanding its reach without significant marketing costs. For Grvt, built on the ZKsync L2 solution, this is another step toward strengthening its position following the $19 million Series A raise in September 2025 and the successful TGE of the GRVT token on July 30, 2026.
Coinbase expands its geography
In parallel, another industry giant, Coinbase, is betting on the Middle East. The company has officially announced the opening of an international tokenization hub in Abu Dhabi. This became possible after obtaining a financial services license from the Financial Services Regulatory Authority of the Abu Dhabi Global Market. The new entity is expected to offer digital securities backed by underlying shares, paving the way for tokenizing traditional assets outside US jurisdiction.
This move is a logical response to growing demand from traditional financial institutions. Asset managers and banks worldwide are actively moving funds, bonds, and equities onto blockchain rails, seeing opportunities for round-the-clock settlement and using these assets as collateral in on-chain protocols. Establishing the Abu Dhabi hub, which will operate in parallel with Coinbase's derivatives business in Dubai, gives the company two strategic footholds in the UAE for expansion into international markets.
My view: we are witnessing a convergence of two worlds. On one hand, DeFi platforms are seeking reliable, institutional-grade sources of yield to offer their users. On the other, RWA issuers need distribution channels. Deals like those between Grvt and Ondo serve as a bridge that will accelerate the adoption of tokenized assets. However, it is worth remembering that the conflict over control at Ondo Finance, which came to light earlier, adds an element of uncertainty to the long-term prospects of this particular issuer, and the unfolding situation warrants close attention.