BlackRock's BUIDL fund, one of the world's first tokenized money market funds, attracted more than $5 million in investment capital over the past week, bringing its total assets under management (AUM) to 491,000 USD. 83 million USD despite market fluctuations.
Launched in March on the Ethereum platform, BlackRock USD Institutional Digital Liquidity Fund (BUIDL) is the first tokenized fund of BlackRock - the world's largest asset management company. The fund allows institutional investors to access profits from traditional currency markets in USD through tokenization, provided by fintech company Securitize.
BlackRock's confidence in Securitize is clearly demonstrated by the company's participation in Securitize's $47 million capital raising round just two months after the launch of the BUIDL fund, affirming its role as a strategic investor and Securitize's potential in the field of asset tokenization.
While the crypto market struggles, BlackRock's $BUIDL fund, operating on the Ethereum network, continues to attract new investors. The fund requires a minimum entry of $5 million, and its total assets have now reached $491 million. pic.twitter.com/Bl19tVVxbW
— IntoTheBlock (@intotheblock) July 8, 2024
The BUIDL Fund allocates investments in US Treasury bills, cash and repurchase agreements, allowing investors to generate returns while maintaining their assets as tokens on the blockchain.
Despite its correlation with the cryptocurrency industry, the fund has maintained positive growth amid negative market volatility. In July, when the global cryptocurrency market lost $290 billion in market capitalization and Bitcoin fell below $57,000, BUIDL maintained a steady growth momentum.
1/ Blackrock's BUIDL has surpassed Franklin Templeton's BENJI (FOBXX) in AUM and became the largest On-Chain Money Market Fund– BUIDL has grown 36.5% MoM from $274M to $375M– BENJI only grew 2.1% MoM from $360M to $368M pic.twitter.com/zcMzThfAAh
— Tom Wan (@tomwanhh) April 30, 2024
On-chain data from market analysis firm IntoTheBlock (ITB) shows that BUIDL's AUM increased from $486.46 million on July 2 to $491.83 million over the weekend, an increase of 5% .37 million USD.
Previously, in May, BUIDL surpassed Franklin Templeton's BENJI fund to become the largest fund in the blockchain-based money market fund sector, with AUM reaching $375 million. To date, BUIDL has attracted a total of 116.83 million USD in capital, far surpassing BENJI's figure of 33.97 million USD in the same period.
BUIDL's success shows the huge potential of the RWAs market, where traditional assets such as real estate, stocks, bonds are tokenized on the blockchain, bringing benefits in terms of liquidity, transparency and marketability. accessibility for global investors. The participation of "big guys" like BlackRock is expected to promote the strong development of the RWA market in the near future, attracting more capital flows from institutional and individual investors.
