- BlackRock is in talks to list its tokenized money market fund as collateral for derivatives trading on exchanges including Binance, Deribit, and OKX, Bloomberg reports.

- Ondo governance token (ONDO) surged 8% on news of BlackRock’s plans, hitting 79 cents.

- Tokenized funds allow traders to earn yield by using them as margin for trading.

- BUIDL, the largest tokenized offering with more than $550 million in assets, could become collateral for institutional investors.

- Tokenized U.S. Treasuries have surged to $2.3 billion, tripling in a year.

- Using tokens as collateral allows traders to continue earning yield, unlike stablecoins.