Table of Contents
BlackRock and Securitize are expanding access to their tokenized product, BUIDL, to five more blockchains: Aptos, Arbitrum, Avalanche, Optimism’s OP Mainnet, and Polygon.
Initially launched on Ethereum in March, the $522 million fund is the world’s largest tokenized fund - a title it secured in under 40 days. The current tokenized Treasury market is valued at $2.3 billion.
Management fees will be set at 50 basis points on Ethereum, Arbitrum, and Optimism, but only 20 basis points on Aptos, Avalanche, and Polygon.
“We wanted to develop an ecosystem that was thoughtfully designed to be digital and take advantage of the advantages of tokenization,” said Securitize CEO and co-founder Carlos Domingo.
“Real-world asset tokenization is scaling, and we’re excited to have these blockchains added to increase the potential of the BUIDL ecosystem. With these new chains we’ll start to see more investors looking to leverage the underlying technology to increase efficiencies on all the things that until now have been hard to do.”
By introducing BUIDL to additional blockchains, BlackRock aims to broaden access and provide more cost-effective options for investors, particularly on networks with lower fees.
With each new blockchain integration, more applications and users can work with BUIDL, enabling it to offer features like earning yield directly on the blockchain, flexible ways to hold assets, fast peer-to-peer transfers available anytime, and automatic dividend payments.
As highlighted by BRN, institutional demand for crypto products is increasing. Following Donald Trump's electoral victory, both Bitcoin and Ethereum have seen experienced substantial ETF inflows, with $510M for BTC and $147M for ETH on Wednesday. "Despite a slight two-day dip in net inflows for BTC, trading volume remains close to record highs, signaling robust demand from investors but also some growing caution around Bitcoin's current price level," BRN analyst Valentin Fournier stated.
Both #Bitcoin and #Ethereum experienced substantial ETF inflows recently, with $510M for $BTC and $147M for $ETH on Wednesday.
— BRN (@thebrn_co) November 14, 2024
Last month, the SEC approved changes to stock exchange rules that allow for the listing of options linked to Bitcoin ETFs. The approval allows NYSE to offer options on Grayscale Bitcoin Trust (GBTC), Grayscale Bitcoin Mini Trust (BTC), and Bitwise Bitcoin ETF (BITB), while Cboe Global Markets can list options on the Fidelity Wise Origin Bitcoin Fund (FBTC) and the ARK 21Shares Bitcoin ETF (ARKB).
Blockhead
