Securitize Markets, the transfer agent and brokerage for BlackRock's USD Institutional Digital Liquidity Fund and its BUIDL token, has submitted a new governance proposal to Frax Finance. The proposal states: "In addition to providing usability, relative safety, and convenience for Frax USD, it can significantly reduce counterparty risk of its reserves through collaboration with BlackRock." If the proposal is approved, Frax USD will follow the example of stablecoins like Ethena's USDtb by adopting BUIDL tokens as supporting assets. BUIDL currently manages assets worth over $530 million, primarily in short-term U.S. Treasury bills. Although the proposal has not yet been voted on, the early response from members of the Frax Finance DAO has generally been positive.
