BlackRock Picks Ethereum For Tokenized Treasury Fund, XRP Ledger Left Out
U.S. Treasuries
BlackRock has filed with the U.S. Securities and Exchange Commission to launch two new tokenized money-market funds, signaling a significant expansion of its onchain financial product suite. The filings include a digital share class for the $6.1 billion BlackRock Select Treasury Based Liquidity Fund (BSTBL) and the creation of the BlackRock Daily Reinvestment Stablecoin Reserve Vehicle (BRSRV). While the firm continues to leverage Ethereum as its primary blockchain venue, the filings clarify that BlackRock has not yet integrated the XRP Ledger for these specific products. This move follows the success of the BlackRock USD Institutional Digital Liquidity Fund (BUIDL), which has reached approximately $2.5 billion in assets. These developments underscore the institutional shift toward tokenizing U.S. Treasury bills and cash equivalents to provide stablecoin holders with yield-bearing alternatives to traditional bank accounts. With the broader tokenization market reaching $31 billion in total value, BlackRock's strategy reinforces the trend of migrating traditional financial assets onto public blockchains. The firm's commitment aligns with CEO Larry Fink's vision that all financial assets will eventually be tokenized to improve settlement efficiency and accessibility.
Key points
- ▸BlackRock filed for two tokenized funds, BSTBL and BRSRV, with the SEC.
- ▸Ethereum remains the primary network for BlackRock's tokenized fund offerings.
- ▸Tokenized U.S. Treasury volume grew to $352 million, a fivefold annual increase.
- ▸The total tokenized RWA market has expanded to approximately $31 billion.
Background
BlackRock is the world's largest asset manager, overseeing trillions in global investments. The firm has recently pivoted toward blockchain technology by creating tokenized investment vehicles that allow investors to hold digital representations of traditional assets like U.S. Treasury bills directly on-chain.
Relevance
9.5/10