BlackRock has extended its $2.5 billion BUIDL Fund to the BNB Chain, making it available as collateral for institutional trading on Binance, marking a significant tokenized asset initiative.
The move empowers institutional investors with new trading options and supports the integration of traditional finance assets into blockchain ecosystems, potentially enhancing liquidity and market efficiency.
Key Developments
- •BlackRock's $2.5B BUIDL Fund expands to BNB Chain.
- •Enhances collateral utility for institutional trading.
- •Increases real-world asset integration with DeFi platforms.
BlackRock Extends $2.5B Fund to BNB Chain
The BUIDL Fund expansion onto the BNB Chain is orchestrated by BlackRock, led by Robbie Mitchnick, increasing visibility and accessibility of tokenized U.S. Treasuries. In collaboration with Securitize and Binance, the fund offers a significant institutional trading capability, bringing elements of traditional finance to the blockchain space. Carlos Domingo, the Co-founder & CEO of Securitize, stated, "Expanding BUIDL to the BNB Chain and making it available as collateral on the Binance exchange further extends its accessibility and reinforces our mission to bring regulated real-world assets onchain while unlocking new forms of utility that were previously out of reach."
Boost for Institutional Trading Capabilities on Binance
By facilitating BUIDL as collateral, Binance broadens its asset base for institutional clients, fulfilling demands for interest-bearing stable assets. The integration aims to enhance capital efficiency in trading, potentially benefiting entities involved in RWA infrastructure and DeFi platforms.
Rising Trend in Tokenized Treasuries Utilization
Similar integrations, such as with USDC and MakerDAO, have increased DeFi total value locked, promising high adoption rates for RWA in blockchain finance. Market dynamics suggest that BUIDL could elevate the role of tokenized Treasuries, reflecting a growing trend towards asset-backed digital securities.