Tokenized equities are having a loud month of issuance and institutional deals. The two protocols DefiLlama tracks under the category, Ondo Finance and Backed Finance, are seeing their on-chain balances shrink.

Ondo Yield Assets holds $2.58 billion in total value locked, down 1.16% over the past seven days and 3.84% over 30 days, per DefiLlama. BackedFi sits at $7.80 million, off 2.75% on the week and 5.22% over the month. Both windows point the same direction. The contraction tracks ONDO’s token, which trades around $0.31, down roughly 16% over seven days and nearly 29% over 30, for a $1.52 billion market cap, per CoinGecko.

Headlines Up

The product and institutional flow runs the other way. Ondo added 173 tokenized stocks and ETFs this month, pushing its catalog past 430 assets across three chains. Tokenized ETFs on-chain crossed $430 million in market cap, led by Ondo. Backpack put Micron shares on Solana ahead of earnings, and SpaceX began trading in tokenized form alongside its Nasdaq debut. NYSE parent ICE and OKX formed a 50-50 joint venture for tokenized equities. Backpack’s tokenized SpaceX token crossed 10,000 holders on Solana.

TVL Down

The gap is partly a scope problem. DefiLlama tracks two slugs under the tokenized-equity heading, and much of the recent activity sits outside them. Backpack’s Micron and SpaceX listings settle on Solana through Backpack Securities. Ondo’s stock catalog runs through its Global Markets surface, a distinct product from the Yield Assets vault DefiLlama measures. The tracked TVL figures capture a narrow slice of where tokenized-equity capital actually moves.

What the two tracked slugs do show is that the headline names are not pulling fresh capital into their measured on-chain pools. Ondo Yield Assets is concentrated on Ethereum at $1.28 billion, with the rest spread across Stellar, Ripple, Sei, and Solana. BackedFi’s $7.80 million sits mostly on Gnosis Chain. For now, the issuance pipeline is filling while the two pools DefiLlama can see drain at the margin.