Ethereum now accounts for roughly 74% of a tokenized ETF market that just crossed $437.6 million in total capitalization. That’s not a typo. Nearly three-quarters of every tokenized exchange-traded fund sits on a single blockchain.
What’s driving the numbers
The biggest force behind Ethereum’s dominance in tokenized ETFs is Ondo Finance. The protocol has become the primary conduit through which traditional asset managers bring their products on-chain, and its flagship tokenized ETF, IVVon, a blockchain-native version of the iShares Core S&P 500 ETF, surged 150% in the month leading up to mid-May 2026.
IVVon has emerged as one of the largest individual tokenized ETFs in the space. The tokens are backed 1:1 by the underlying securities held in custody, offering 24/7 trading, fractional ownership, and composability with the broader DeFi ecosystem.
BlackRock and Franklin Templeton have both partnered with Ondo Finance on tokenization efforts.
