Today in crypto, DeFi lending protocols have surged 72% in 2025, driven by rising institutional adoption of stablecoins and tokenized assets, according to Binance Research. Sharplink Gaming’s boss says yield-chasing crypto companies are most at risk. Meanwhile, the SEC and CFTC issued a joint statement for a coordinated approach to spot crypto trading in the US.
DeFi lending rises 72% on institutional interest, RWA collateral adoption
Decentralized lending protocols are experiencing a major upswing, with total value locked (TVL) rising sharply amid growing demand for stablecoins and tokenized assets, Binance Research reports. These protocols, which use smart contracts to enable peer-to-peer lending and borrowing without banks or intermediaries, have become one of the fastest-growing segments of decentralized finance (DeFi).
According to the latest data, DeFi lending protocols have grown more than 72% year-to-date, surging from $53 billion at the start of 2025 to over $127 billion in TVL as of Wednesday. This marks a significant influx of capital, underscoring the sector’s rapid expansion.
Binance Research attributes this momentum to accelerating institutional adoption of both stablecoins and tokenized real-world assets (RWAs). As traditional financial players increasingly explore blockchain-based settlement and yield opportunities, DeFi lending platforms are becoming key gateways for participation.
Yield-chasing ETH treasury firms are most at risk: Sharplink Gaming CEO
Companies that buy and hold Ether (ETH) and try to squeeze the most yield out of their holdings will be significantly more at risk if the market declines, Sharplink Gaming co-CEO Joseph Chalom said on Monday.
“There will be people just like in traditional finance who wanna get that last 100 basis points of yield, and think that it is riskless,” Chalom told Bankless. He added that there are ways to achieve double-digit yields on ETH, but they come with a host of risks and those “who are far behind are going to take risks that I don’t think are prudent.”
Sharplink Gaming is the second-largest public holder of ETH, with $3.6 billion worth, trailing only behind BitMine Immersion Technologies, which holds $8.03 billion.
Chalom said that the crypto treasury space “could be tainted by people that do imprudent things,” such as how they go about raising capital or differentiating themselves in the yield that they derive from their ETH holdings.
“If you overbuild and there is a downturn, how do you make sure your call structure is in such a way that you build to the highest price of Ethereum?” he said.
He added, however, that he thinks ETH treasury companies are almost infinitely scalable.
US regulators clarify rules for spot crypto trading
The US Securities and Exchange Commission (SEC) and Commodity Futures Trading Commission (CFTC) issued a joint staff statement on Tuesday announcing a coordinated effort to oversee and enable spot crypto trading in the United States.
The agencies clarified that existing law does not prevent regulated US or foreign exchanges, such as national securities exchanges (NSEs), designated contract markets (DCMs) and foreign boards of trade (FBOTs) from listing spot crypto products, including those with leverage and margin features.
The move follows the President’s Working Group on Digital Asset Markets recommendations, which urged regulators to provide clarity and keep blockchain innovation within the United States.
“Today, the Divisions provide their view that DCMs, FBOTs, and NSEs are not prohibited from facilitating the trading of certain spot crypto asset products. Market participants are invited to engage with SEC staff or CFTC staff, as needed.”
Market participants were invited to contact the SEC or CFTC with proposals and questions.
