Injective launched the first perpetual index tied to BlackRock’s BUIDL Fund supply.
The index offers 24/7 access and focuses on supply, not price movements.
Traders can speculate on supply changes with leverage options and reduced volatility.
Injective (INJ) has launched the first perpetual market tied to BlackRock’s BUIDL Fund supply. This unique index offers traders a new way to access tokenized assets. Unlike traditional indexes that track prices, this one focuses on the fund's supply. This innovative approach allows traders to speculate on the supply dynamics of BlackRock’s tokenized fund.
https://twitter.com/BSCNews/status/1831870843401429416 Monitoring Token Supply for New Opportunities
The BUIDL Index provides 24/7 access to tokenized assets like U.S. Treasuries. Also, it offers leverage options by giving traders more flexibility. What makes this index stand out is its focus on supply rather than price. By tracking the supply of BUIDL tokens, traders gain new insights into the fund's behavior.
BlackRock’s BUIDL Fund has over $500 million in assets under management. Each token holds a stable value of $1 and generates daily dividends, paid out monthly. The fund's assets include U.S. Treasury bills, cash, and repurchase agreements, ensuring stable returns for investors.
Speculating on Supply Changes
The BUIDL Index lets users take long or short positions based on supply fluctuations. If the supply of BUIDL tokens rises, the index price goes up. Otherwise, the price drops. This mechanism allows traders to capitalize on changes in the token supply. To reduce short-term volatility, Injective uses a 1-hour Time-Weighted Average Price (TWAP) system.
This ensures price stability even during rapid market movements. The index was developed in partnership with Stork, a decentralized price feed service, which provides real-time data for both on- and off-chain applications.
Previously, the BUIDL Fund was accessible only to institutional investors, with a minimum $5 million investment. Now, through Injective's index, anyone can trade with as little as $1. The launch of the BUIDL Index comes after Injective’s Altaris Mainnet upgrade. This upgrade introduced a real-world asset oracle, expanding Injective's tokenized offerings.
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