BlackRock and Securitize Launch Tokenized Money Market Fund

Key Points:
  • BlackRock and Securitize launch BUIDL fund, now used in trading.
  • Enhances liquidity and trading strategies.
  • First tokenized U.S. Treasury fund as collateral on exchanges.


BlackRock and Securitize Launch Tokenized Money Market Fund

Main Content

BlackRock, in partnership with
Securitize,
introduced the BUIDL fund, now collateral on Crypto.com and Deribit exchanges.

The event signifies a pivotal shift in cryptocurrency trading, integrating real-world assets into the
digital finance ecosystem and influencing capital efficiency across markets.

BlackRock and Securitize have unveiled the BUIDL fund, pioneering as a collateral
option on major crypto exchanges. Carlos Domingo, Securitize CEO, emphasized its role
in reshaping crypto market infrastructure:

“With BUIDL now accepted as collateral on Crypto.com and Deribit, the fund is evolving from a
yield-bearing token into a core component of crypto market infrastructure…Tokenized Treasuries
are being actively used to improve capital efficiency and risk management across some of the
industry’s most sophisticated trading venues, while still offering yield.” – Carlos Domingo,
Co-Founder & CEO, Securitize

Involvement includes BlackRock, Securitize, and institutional partners
like BNY Mellon. The fund, offering a 4.5% annual yield, uses U.S. Treasury bills for
backing, enhancing capital accessibility.

Acceptance of this fund as collateral alters trading strategies significantly. Markets may
shift
from volatile assets to tokenized securities, potentially realigning asset allocations and
valuation approaches.

Financially, the fund opens new avenues for yield enhancement through tokenized securities.
Its regulatory adherence signals robust compliance frameworks, maintaining investor
confidence.

Experts discuss how tokenization may transform capital markets, promising improved liquidity and trading
efficiency. Observers note potential for increased adoption, aligning traditional and
digital finance realms.

(For more insights into how Securitize provides secure solutions for digital financial
products, visit their update on the topic.)

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