BlackRock has announced the expansion of its tokenized fund, BUIDL, to five new blockchains, namely Aptos, Arbitrum, Avalanche, Optimism, and Polygon. This move strengthens BlackRock’s integration into the blockchain-based financial ecosystem.
The expansion offers investors advantages such as on-chain yield, asset custody flexibility, near real-time peer-to-peer transfers, and on-chain dividend distribution, making BUIDL an innovative solution for institutional liquidity management.
In partnership with Securitize and BNY Mellon, BlackRock aims to maximize the benefits of tokenizing real-world assets, facilitating a seamless and secure integration of digital solutions into traditional financial infrastructures.
BlackRock Expands Access to BUIDL Tokenized Fund to New Blockchain Ecosystems
BlackRock has announced a new development for the BlackRock USD Institutional Digital Liquidity Fund (BUIDL), a tokenized fund launched on Ethereum in March 2024 using Securitize’s technology.
The fund is now expanding to five new blockchains: Aptos, Arbitrum, Avalanche, Optimism’s OP Mainnet, and Polygon. This initiative marks a crucial step in the evolution of the tokenization market, allowing BUIDL to become an integrated component of blockchain-based financial products.
Enhanced Features for Investors and Developers
Each integration into a new blockchain allows applications and ecosystem users to interact directly with BUIDL. This expansion brings tangible benefits to investors, such as on-chain yield, asset custody flexibility, near real-time peer-to-peer transfers, and on-chain dividend distribution. These features enhance the appeal of BUIDL as an innovative solution for institutional liquidity management.
In less than 40 days, BUIDL has become the tokenized fund with the highest assets under management (AUM) in the world. This rapid growth reflects the market’s appetite for tokenized financial solutions, offering additional options to investors, decentralized autonomous organizations (DAOs), and native digital ecosystem companies. Developers can now build on the BlackRock fund in their preferred environment, stimulating innovation and adoption.
Securitize and BNY Mellon: Key Partners for BlackRock on BUIDL
We wanted to develop a thoughtfully designed digital ecosystem to maximize the benefits of tokenization. The tokenization of real-world assets is gaining momentum, and the addition of these blockchains increases the potential of the BUIDL ecosystem.
Carlos Domingo, CEO and Co-Founder of Securitize
The Bank of New York Mellon (BNY), a central player in bridging traditional and digital financial ecosystems, plays a crucial role as the administrator and custodian of the fund. Its involvement ensures a smooth and secure transition of BUIDL to these new blockchains, reinforcing confidence in the integration of digital solutions into traditional financial infrastructures.
The inclusion of platforms like Aptos and Polygon demonstrates a growing interest in cross-chain solutions, where speed and efficiency are crucial.
