BlackRock Expands BUIDL to Solana as Tokenized Fund Surpasses $1.7 Billion
U.S. Treasuries
BlackRock has expanded its tokenized money market fund, BUIDL, to the Solana blockchain following a rapid surge in assets under management that pushed the fund past $1.7 billion. Launched in March 2024 in collaboration with Securitize, the fund has secured a dominant position in the tokenized U.S. Treasury market by offering 24/7 trading and daily dividend distributions. The fund experienced significant growth, adding $700 million in new investments over an 11-day period to surpass its previous $1 billion milestone. This move to Solana follows a broader multichain strategy implemented in November 2024, which previously integrated Aptos, Arbitrum, Avalanche, Optimism, and Polygon. By leveraging blockchain technology, BUIDL aims to eliminate the settlement inefficiencies inherent in traditional financial systems. The expansion highlights the intensifying competition among major financial institutions to capture market share in the $5 billion tokenized real-world asset sector. This development underscores a growing institutional appetite for blockchain-based financial products that provide yield on idle cash through short-term government instruments.
Key points
- ▸BUIDL assets under management surpassed $1.7 billion following $700 million in recent inflows.
- ▸BlackRock expanded BUIDL to Solana, adding to its existing multichain presence on six networks.
- ▸The fund has distributed $7 million in dividends to investors as of August 2024.
- ▸Total tokenized real-world asset market capitalization has now exceeded $5 billion.
Background
BUIDL is a tokenized money market fund that provides investors with exposure to U.S. Treasury bills and other yield-bearing instruments on-chain. By utilizing blockchain technology, the fund enables 24/7 liquidity and faster settlement compared to traditional money market funds that are restricted by standard banking hours.
Relevance
9.5/10