BlackRock has filed a Form D with the SEC to launch the digital asset fund ‘BlackRock USD Institutional Digital Liquidity Fund’, marking the first time the asset management giant has launched a tokenized asset fund.
According to the filing, BlackRock established this fund in 2023 in the British Virgin Islands but has not officially launched it. The Form D application is used to request exemptions from certain regulations, specifically they are seeking exemptions under Article 3(c) of the Investment Company Act to avoid certain SEC regulations.
BlackRock's new fund will be tokenized on the Ethereum platform, using the ERC-20 token standard called BUIDL. According to data from Etherscan, the token currently has only one holding address and no recorded market value. Notably, the fund received a transfer worth 100 million USD on March 4.
BlackRock's filing has been filed with the SEC. Source: SEC
The fund also requires a minimum investment of $100,000, and token issuance and sales will be carried out by American digital asset securities company, Securitize . This company is registered with the SEC as a stock transfer agent and alternative trading system.
BlackRock CEO Larry Fink believes that tokenization of financial assets such as stocks, bonds… in the future will be recorded on a shared ledger. “Each investor will have its own identification number and any issues related to illegal activities surrounding stocks and bonds will be solved by tokenization,” Fink opined.
