BlackRock's dollar-denominated institutional digital liquidity fund known as BUIDL has overtaken Franklin Templeton's OnChain US Government Money Fund (FOBXX) to reach 375 million in assets under management (AUM) as of April 30, making it the world's largest tokenized equity fund, according to Dune Analytics.
Franklin Templeton's FOBXX had $376 million in AUM as of April 28, followed by BlackRock's BUIDL with $349 million.
This growth comes just six weeks after BUIDL's debut, when the asset gap between BUIDL and FOBXX widened to $8 million and BUIDL took the lead.
#BlackRock launched BUIDL in March 2024 in partnership with Securitise. The fund raised more than $240 million in its first week. Last week, BUIDL raised $70 million, including $50 million from Ondo Finance's OUSG token. At the same time, FOBXX's AUM fell 3.7 percent.
Real asset #tokenization is gaining momentum following BlackRock's participation. Franklin Templeton announced last week that it had authorized the direct transfer of FOBXX shares on the public #blockchain , a move seen as an attempt by the fund to maintain its market-leading position.
In a recent post on Site X, 21Shares analyst Tom Wang suggested that the share of tokenized government securities in the total tokenized asset market could grow from about 1% today to more than 10%.
In January 2023, tokenized government securities represented just 0.1% of total tokenized assets. Today, they make up 1.4% of total tokenized assets.
According to Wang, there is currently little demand for tokenized traditional financial assets. Even #cryptocurrency investors are hesitant to invest in tokenized stocks due to low liquidity.
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