Tokenized real-world assets continued to expand in 2026 even as activity across several other parts of the cryptocurrency market weakened, according to a report from Binance Research.
The research found that the distributed value of tokenized real-world assets, or RWAs, increased from approximately $22 billion at the beginning of the year to about $34 billion by mid-July, representing growth of more than 50%.
The expansion stood in contrast to broader on-chain conditions during the period. Binance Research reported that total decentralized finance value locked fell by $43.4 billion, or 38%, while the combined market capitalization of six major Layer 1 networks covered in the study declined by $246.5 billion, or 42%.
Tokenized Assets Move Beyond Cash-Like Products
Growth in the RWA sector was not evenly distributed across asset classes. Binance Research identified tokenized stocks and private equity as the fastest-growing categories during the period, reporting year-to-date increases of 177% and 164%, respectively. The figures indicate that blockchain-based representations of traditional assets are expanding beyond the tokenized Treasury and cash-equivalent products that accounted for much of the sector’s earlier development.
Tokenization generally involves representing rights to an underlying asset through blockchain-based tokens. Depending on the structure of the product, those assets can include government securities, equities, private credit, commodities or other financial instruments.
The expansion also suggests that tokenization is broadening beyond a narrow set of fixed-income products. As more asset classes move on-chain, the market is becoming more varied, with equities, private-market instruments and other traditional assets accounting for a larger share of activity.
BNB Chain Gains Share in Tokenized Equities
One of the sharper shifts highlighted in the report involved tokenized equities. Binance Research said the value of on-chain tokenized equities on BNB Chain increased from approximately $34 million at the beginning of 2026 to $652 million in July, allowing the network to overtake Ethereum in that segment.
Trading activity also became concentrated. Tokenized stock trading volume on BNB Chain exceeded $4.5 billion in July, equivalent to approximately 83% of the on-chain market measured by the report. The network’s broader tokenized RWA market capitalization increased 107% during the first half, raising its share of the market from 9.8% to 13.5%.
The shift also highlights how quickly activity in tokenized securities can move between blockchain networks. As issuance and trading expand, factors such as transaction costs, liquidity, settlement speed and access to market infrastructure are likely to play a larger role in determining where that activity is concentrated.
Ethereum Usage Rises While Network Revenue Falls
The report also identified a divergence between Ethereum network usage and the revenue generated from transaction fees. Binance Research said Ethereum transaction counts increased by about 50%, while average gas prices fell approximately 75% compared with 2025 levels. Based on the first-half trajectory, the researchers projected Ethereum chain revenue could decline 53% for the full year.
Lower fees have followed increases in Ethereum's available blockspace. Official Ethereum documentation lists a block gas limit of about 60 million, corroborating the capacity level referenced in the Binance report. Increasing the gas limit allows more computational activity to be included in blocks, although network revenue ultimately depends on both transaction demand and the fees users pay for that capacity.
The development illustrates a trade-off facing blockchain networks as they scale. Greater throughput and lower transaction costs can improve capacity for users and applications, but those gains do not automatically translate into higher fee revenue for the underlying network. Binance Research characterized the first half of 2026 as a broader on-chain contraction rather than a simple shift of activity between competing chains.
DeFi Declines as Security Incidents Increase
Conditions in decentralized finance were weaker during the same period. Binance Research reported that DeFi total value locked declined 38.7% during the first half of the year, while active loans dropped 38%. The contraction outpaced the decline in the broader cryptocurrency market measured by the researchers.
Security remained another pressure point. The report recorded $972 million in losses across 207 hacks and exploits during the first half of 2026. While total financial losses were lower than the $2.3 billion reported for the comparable previous period, Binance Research said the number of incidents was the highest recorded for any six-month period in its dataset.
The figures show a market developing in different directions at the same time. DeFi liquidity and several major blockchain valuations contracted, Ethereum handled more activity at lower transaction costs, and tokenized real-world assets continued to add value.
