BlackRock Launches $2.1B Tokenized Treasury Fund on Uniswap for DeFi

BlackRock has integrated its $2.1 billion USD Institutional Digital Liquidity Fund (BUIDL) into the Uniswap decentralized exchange, marking the asset manager's first formal expansion into DeFi. Facilitated by tokenization firm Securitize, this initiative allows institutional clients to trade tokenized U.S. Treasury securities directly on-chain. As part of the strategic collaboration, BlackRock also acquired an undisclosed amount of Uniswap’s governance token, UNI. BUIDL currently stands as the largest tokenized money market fund, providing institutional investors with liquidity, security, and yield while maintaining traditional investment characteristics. This move signifies a major shift in institutional adoption, as traditional finance giants increasingly leverage blockchain to offer on-chain alternatives to stablecoins. By enabling the use of money market fund shares as collateral, the fund offers a potential hedge against stablecoin dominance. The integration highlights the growing legitimacy of tokenized real-world assets and reflects a broader industry trend toward adapting to evolving digital market dynamics.