In a watershed blockchain embrace, BlackRock has unveiled the $100 million BlackRock USD Institutional Digital Liquidity Fund (BUIDL) comprising tokenized assets on Ethereum. SEC filings detail BUIDL's substantial $100 million USDC stablecoin inaugural investment.
The behemoth asset manager's founder Larry Fink has long envisioned tokenizing all financial instruments on public ledgers, labeling it "the second step" after exchange-traded funds revolutionized markets.
By representing stocks, bonds, real estate and alternatives as secure digital tokens, Fink posits enhanced transparency and efficiency while slashing frictional costs could manifest tokenization's lofty upheaval.
However, the SEC has delayed reviewing BlackRock's proposed Ethereum ETF amid lingering crypto regulatory ambiguities, despite greenlighting various Bitcoin funds this year.
Nonetheless, tokenization's implications for capital markets remain profound. From streamlining settlement to bolstering compliance and inclusivity, migrating issuance and trading to blockchains could catalyze far-reaching disruption.
BUIDL's Ethereum-native structure exemplifies BlackRock's conviction in blockchain finance's transformative trajectory despite its infancy. The $100 million seed investment signifies remarkable institutional gravitas.
BlackRock USD Institutional Digital Liquidity Fund's SEC filing. Source: SEC
However, tokenization surfaces thorny complexities around custody, governance, and regulatory sovereignty over decentralized ecosystems unbound by borders or jurisdictions.
As development iterates and lawmakers gradually codify digital asset frameworks, reconciling Web3's stateless, trustless ideals with centralized finance's familiar safeguards looms paramount for bridging parallel realms.
Blackrock's aggressive fee reduction in the competitive ETF market sets a benchmark, but uncertainties surrounding SEC approval pose challenges. As the industry strives for lower fees, the outcome of the SEC's investigation will play a pivotal role in shaping the future landscape of spot Bitcoin ETFs.
Cheng YuanBlackRock and Bitwise revise Bitcoin ETF applications, signaling a proactive stance in aligning with SEC regulations.
Xu Lin美国证券交易委员会的确认表明，对贝莱德（BlackRock）ETF提案的正式审查程序已经开始。
CointelegraphBlackRock’s filing renewed the hopes of several U.S. traditional finance firms. Here’s the list of companies that have resubmitted their applications.
cryptopotatoBailey, the CEO of BTC Inc. and a board member at the University of Alabama believes that BlackRock’s entry into the Bitcoin ETF market could tip the scales in favor of regulatory acceptance.
BitcoinistMeta, Apple and Nvidia are top holdings for the exchange-traded fund.
OthersOne of the world’s biggest asset manager has added bitcoin to one of the most preferred fund for ordinary and passive investors.
OthersThe move comes one week after its partnership with Coinbase to provide institutional clients with crypto trading access.
CointelegraphBlackRock, world's largest money manager has entered a partnership with crypto exchange Coinbase on Thursday. BlackRock now will be able ...
BitcoinistBlackRock CEO Larry Fink said in July that the firm saw "very little demand" for cryptocurrencies from investors.
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