Crypto trading firm Keyrock reports a significant surge in onchain asset management, with assets under management (AUM) increasing by 118% in 2025 to reach $35 billion. This growth is attributed to advancements in automated yield vaults, discretionary strategies, structured products, and credit. Keyrock forecasts that AUM could approach $64 billion by 2026 under a base case scenario, potentially rising to $85 billion if the current growth trend persists. Discretionary strategies have emerged as the leading segment, experiencing a remarkable 738% year-to-date increase, positioning onchain investing as a viable alternative to traditional finance. The report points out that three protocols—Morpho, Pendle, and Maple—now account for 31% of the industry’s AUM, indicating both strong leadership in scaling and inherent concentration risks. Yield vaults remain the primary entry point for allocators, accumulating $18 billion in deposits. Despite a proliferation of smaller wallets, larger entities referred to as whales and dolphins account for 70% to 99% of the capital across various strategies. In terms of performance, onchain asset management has matured to the point where net returns are competitive with traditional financial markets, although they are no longer consistently superior. Notably, automated yield vaults outperformed traditional finance peers by approximately 186 basis points after fees, while structured products and onchain credit fell slightly behind when costs were considered. Discretionary strategies have provided hedge fund-like results with the added advantages of enhanced liquidity and transparency. Recently, Keyrock expanded its operations into asset and wealth management by acquiring Turing Capital, a fund manager based in Luxembourg.