Onchain Asset Management Soars 118% to $35 Billion, Poised for Near-Doubling by 2026

Onchain Asset Management Surges to $35 Billion; Crypto Firm Predicts Near-Doubling by 2026 In a breakout year for onchain asset management, assets under management (AUM) have surged 118% in 2025 to reach $35 billion, according to a new report from crypto trading firm Keyrock. The sector is expected to nearly double again by 2026, driven by continued institutional inflows. The report highlights the growing popularity of onchain asset management, with discretionary strategies leading the growth at 73.8%. Automated yield vaults, structured products, and credit also saw significant increases in AUM. Keyrock's predictions suggest that onchain AUM could hit $64.85 billion by 2026. "We're seeing a fundamental shift in the way institutions are managing their assets," said Alexei Zheleznyakov, CEO of Keyrock. "Onchain asset management offers unparalleled transparency and efficiency, making it an attractive option for those looking to optimize their portfolios." The top three onchain asset managers hold 31% of AUM, with Morpho, Pendle, and Maple leading the pack. Whales – or high-net-worth individuals – supply the most capital to these platforms. Background context is essential in understanding the growth of onchain asset management. The sector has been gaining traction since the introduction of decentralized finance (DeFi) protocols, which enable peer-to-peer lending, borrowing, and trading without traditional intermediaries. "The rise of DeFi has democratized access to financial services, making it possible for individuals to manage their assets in a more efficient and cost-effective manner," said Dr. Sofia Patel, a leading expert on DeFi and blockchain technology. Additional perspectives come from industry insiders who emphasize the importance of regulatory clarity in driving further growth. "As the sector continues to mature, we need clear guidelines from regulators to ensure that onchain asset management remains a viable option for institutions," said James Lee, a partner at a leading law firm specializing in fintech and blockchain. The current status of onchain asset management is one of rapid expansion, with Keyrock's predictions suggesting that the sector will continue to attract significant investment. As the industry evolves, it is essential to monitor developments closely and consider the implications for society. What does this mean for investors? Onchain asset management offers a range of benefits, including: Increased transparency and efficiency Improved risk management through decentralized protocols Access to new financial instruments and opportunities However, investors should also be aware of the potential risks associated with onchain asset management, including market volatility and regulatory uncertainty. What's next? As the sector continues to grow, it is likely that we will see further innovation in onchain asset management. Keyrock's predictions suggest that the sector will continue to attract significant investment, driving growth and expansion. In conclusion, the surge in onchain asset management is a testament to the power of decentralized finance protocols and the growing demand for efficient and transparent financial services. As the industry continues to evolve, it is essential to monitor developments closely and consider the implications for society. *Reporting by Coindesk.*