In this week’s Crypto Long & Short newsletter: 🟡@pgaff_digital of @O2Ocapital on what’s keeping real-world assets from scaling in DeFi 🟡Top headlines institutions should pay attention to by @FranciscoMemor 🟡“Tron led crypto card volume in Q3 2026” in Chart of the Week coindesk.com/newsletters/cry…

Tokenized stocks are starting to do more than just sit in wallets. 🐘 The top six lending apps now hold $52.3M of tokenized stocks as collateral, led by @kamino at $25.2M and @JupiterExchange Lend at $13.1M. This is the part that Wally takes a look at after issuance: getting the assets used. Data: @DefiLlama

@coinbase lends customers up to $100K $USDC against $SOL on @Morpho. Our 2nd vault brief follows the money onchain to a $34M vault on @base: - @ClearstarLabs supplies ~80% of the $USDC in the $SOL market - 217 liquidations, 0 bad debt Full brief below:

Our October 2026 RWA Vaults report is LIVE With $20B in TVL, vaults are becoming the default wrapper for onchain asset management, yet most of that capital sits in crypto strategies paying 4-6%, leaving plenty of room to run for yield-generating RWAs >>

Everything in DeFi is turning into a vault, and most users will never know it. The reason is UX. DeFi is still way too complex for a normal user. Even for power users, you don't want to deploy manually into 15 different Morpho pools. Pack that into a vault that rebalances (or not) on the backend and you get exposure without the manual work. Now look at the 5% yield toggle in a fintech app. On the front end it's a savings product. On the back end it's a vault deploying into lending pools. The user has no idea. Institutions want the same thing with their own branding on top, white label, without ever touching a public pool. Same with RWAs. You can tokenize a yield-bearing asset, but until it sits in a lending protocol, has a pool on an AMM and ideally ends up in something like Pendle, it's dead in defi terms. Nobody uses it. Wrapping it in a vault is how it gets utility. And it gets harder from here. On-chain liquidity is thin outside BTC, ETH and SOL. The strategies that actually make money run off-chain, on exchanges and OTC desks. The vault becomes a mutual fund with a tokenized receipt of the NAV. You cannot verify the strategy by reading the contract anymore. Anyone can promise 20% on stablecoins. The question is what happens to your balance sheet on a black swan event, and whether your depositors can see it coming. Nobody cared about this in the early days. Institutions coming from TradFi will care, and they will not deposit without risk frameworks and transparency tooling in place. That is the most underbuilt piece in vaults right now.

The 2 questions that decide every allocation, per @yield_network: 1. Where does the yield come from? 2. What is the downside? That's the bar we're building O2O to clear: USD, senior-secured private credit, with legal structure and reporting designed for exactly this diligence.