The tokenized private credit market is quietly emerging as one of the fastest-growing sectors in real-world assets (RWA), with over $13.3 billion in assets under management.
Once the domain of institutions, private credit is now moving on-chain, driven by platforms like Figure and Tradable, and attracting backing from heavyweights like Apollo, BlackRock, and Franklin Templeton.
As asset managers race to bring traditionally illiquid debt markets onto blockchain rails, tokenization is reshaping how credit is accessed, managed, and traded, offering both retail and institutional investors a new gateway into the $3 trillion private credit universe.
Figure and Tradable
Figure, a company that has received investment from Morgan Creek Capital, Apollo, and Ribbit Capital, has over $12 billion in assets. It also runs a marketplace for Home Equity Line of Credit (HELOC) and helps clients borrow against their homes.
Tradable is the second-biggest player in the tokenized private credit industry. It boasts over $1.8 billion in on-chain assets. Backed by Parafi, Matter Labs, and Victory Park Capital, Tradable helps asset managers to tokenize their assets.
Tradable also helps individuals to participate in the private credit industry that has long been reserved for institutions. Other top players in the tokenized private credit industry are Maple (SYRUP), Pact, Mercado Bitcoin, and Centrifuge (CFG).
Large companies in the private equity industry are getting interested in the tokenized private credit sector. Apollo Global, which has over $641 billion in private credit assets, has already launched the Apollo Diversified Credit Securitize Fund or ACRED in January.
Similarly, companies like VanEck, Franklin Templeton, and BlackRock have all launched tokenized assets. BlackRock’s BUIDL has crossed over $3 billion in assets, while Franklin Templeton’s FOBXX fund has over $706 million in assets.
Private credit industry is growing
The private credit industry is one of the fastest-growing areas in finance. A report by the Alternative Investment Management Association estimated that the market crossed the $3 trillion asset, a figure that is continuing to grow.
The sector has grown mostly in the United States, where many companies have turned to private credit specialists for financing. These firms are seeking to diversify their borrowing away from banks.
Subsequently, some of the biggest banks have launched their private credit funds. Goldman Sachs created the Capital Solutions Group, a business that will provide direct lending solutions. Most recently, State Street partnered with Apolo to launch a new private credit solution.
Tokenized private credit is one of the fastest-growing areas in the RWA industry, which collectively holds $23.10 billion in assets. Over 113,350 investors hold RWA assets.
The other top fields in the RWA industry are stablecoins, US Treasuries, commodities, and institutional funds. Tokenized stocks could be the next big thing after Kraken tokenized over 50 stocks in May.
Source: crypto.news
