VanEck’s VBILL Token Accepted as Collateral on Euler

VanEck’s tokenized U.S. Treasury fund VBILL is now accepted as collateral on the decentralized lending protocol Euler after Securitize launched the token on an Euler market curated by KPK. The integration went live Thursday and lets holders deposit VBILL to borrow other crypto assets while continuing to earn the fund’s Treasury yield.

Users who supply VBILL to Euler can borrow a range of crypto assets against their positions without redeeming the underlying Treasury exposure. The arrangement provides onchain liquidity and allows users to pursue lending, leverage or hedging strategies while maintaining short-term Treasury exposure.

VanEck product manager Jon Casterline described the connection between tokenized Treasuries and DeFi infrastructure: “VBILL's availability on Euler is another step in connecting tokenized Treasury exposure to DeFi infrastructure.” The launch builds on Securitize’s DS Protocol, which issues and manages VBILL and enforces compliance rules onchain.

VBILL launched in May 2025. As of Thursday the fund held about $61 million in assets across roughly 30 onchain wallet addresses. The fund reported a seven-day APY of 3.38% and charges a 0.20% management fee. Securitize previously made VBILL available on an Aave Horizon market and issued the fund across Avalanche, BNB Chain, Ethereum and Solana, with cross-chain transfers supported by Wormhole.

Becoming collateral-eligible on Euler allows VBILL to be used in curated lending markets such as the one managed by KPK, widening ways for holders to access capital while retaining Treasury exposure. The DS Protocol enforces issuer and regulatory compliance directly on the token.

Tokenized Treasuries move short-term government debt onto blockchain platforms, enabling holders to use those assets in lending, trading and yield strategies without leaving their tokenized positions.