According to @julian2kwan on X, 2026 is shaping up as the Year of the Vault, with DeFi vaults referenced as expanding from roughly $6B to $15B+ in TVL and delivering about 3 to 7 percent APY in altcoins, citing an Empire Podcast shared by @JasonYanowitz on X. According to @julian2kwan on X, there are two parallel tracks: DeFi vaults that run on-chain strategies for crypto-native assets with crypto-denominated yields, and RWA vaults that bring USD yields from tokenized fixed income on-chain, with the RWA addressable market described as orders of magnitude larger. According to @julian2kwan on X, institutional RWA flows require regulated venues rather than unregulated DeFi, and he cites IxsFinance licensing and integration with LINE for compliant distribution rails. According to @julian2kwan on X, tokenized RWAs can power vaults with real BTC yields, bridging traditional finance and crypto. According to @julian2kwan on X, traders should watch for RWA vault volumes to surpass DeFi vaults, implying a shift toward regulated RWA rails, USD yield products, and BTC-linked on-chain yield strategies if this thesis plays out.

According to @Matt_Hougan, vaults represent a major asset management innovation on par with index funds and ETFs, signaling the shift of finance onchain. Source: @Matt_Hougan. Bitwise announced non custodial vault strategies as a curator on Morpho, currently targeting 6% APY by investing in overcollateralized lending pools, with curation, strategy, and risk management led by Portfolio Manager Jonathan Man, CFA. Source: @BitwiseInvest. Bitwise added that the offering leverages its 140-person team and more than eight-year crypto track record to provide a transparent way for sophisticated investors to earn digital yield. Source: @BitwiseInvest.

According to Camilla McFarland, DeFi vaults can replicate the functions of traditional finance SPVs in minutes while offering superior transparency, compared to the months-long structuring process in tradfi (source: Twitter, May 13, 2025). This operational efficiency and on-chain visibility position DeFi vaults as a highly attractive tool for traders seeking rapid exposure to structured products and yield opportunities, potentially increasing trading volumes and liquidity in the decentralized finance sector.