Core Insights - BlackRock is developing technology for digital representations of traditional assets, with a focus on tokenization to broaden access to capital markets and reduce fees [1][2][3] - The firm is engaging with major financial platforms to advance its tokenization strategy, which is seen as a significant trend in the future of markets [2][3] - BlackRock's USD Institutional Digital Liquidity Fund (BUIDL) is one of the largest tokenized assets, currently valued at $2.8 billion [5][6] Tokenization Strategy - BlackRock's CEO emphasized the need for rapid movement towards tokenization, particularly for assets with multiple intermediaries, to lower costs and enhance affordability [3][4] - The firm is not currently focusing on tokenizing real estate but recognizes its potential to reduce fees associated with home ownership [3] - Tokenized assets are gaining traction among younger investors, and introducing them to traditional assets could better prepare them for significant life events [4] Investment and Market Position - BlackRock led a $47 million funding round in Securitize, marking a strategic step in its digital assets strategy [6] - The company manages the largest ETFs for Bitcoin and Ethereum, with assets under management of $93 billion and $17 billion, respectively [6] - Future announcements regarding BlackRock's role in asset tokenization and digitization are anticipated, as the firm invests heavily in developing its own technology [7]

Core Insights - Ripple and Securitize have launched a smart contract allowing holders of BlackRock's BUIDL and VanEck's VBILL tokenized Treasury funds to redeem shares for Ripple USD (RLUSD), creating a regulated off-ramp for institutional investors [1][2] - The USD Institutional Digital Liquidity Fund (BUIDL) launched by BlackRock in March 2024 has exceeded $1 billion in assets within its first year, while VanEck's Treasury Fund (VBILL) is set to follow suit [2] - RLUSD is backed one-to-one by cash and Treasurys, with reserves held by BNY Mellon, and has achieved a market capitalization of over $700 million since its launch in late 2024 [5] Group 1 - The integration of RLUSD on Securitize's platform is framed as its first use, managing over $4 billion in tokenized assets under SEC oversight [4] - Jack McDonald from Ripple stated that the option to redeem shares for RLUSD is a natural progression in merging traditional finance with cryptocurrency [3] - Ripple's partnership with DBS and Franklin Templeton in Singapore aims to enhance asset management with RLUSD and expand access in Africa for remittances and payments [6] Group 2 - Ripple's redemptions for BUIDL are currently live, with VBILL expected to follow shortly [2] - The stablecoin RLUSD has been integrated into Ripple's cross-border payments network and is gaining traction in decentralized finance pools [5] - Ripple plans to launch RLUSD in Japan in 2026 in collaboration with SBI under Financial Services Agency regulations [6]

BlackRock plans to bring its top-performing ETFs on-chain. | Credit: Getty Images. Key Takeaways BlackRock seeks to tokenize its leading ETFs with exposure to real-world assets like equities and bonds. The move could open 24/7 trading, global accessibility, and new use cases in DeFi. BlackRock already operates the world’s largest tokenized money market fund, BUIDL. BlackRock, the world’s largest asset manager, is preparing to take one of its boldest steps yet: tokenizing some of its most successf ...

Fidelity has launched the Fidelity Digital Interest Token (FDIT), an on-chain money market fund backed by mostly U.S. Treasuries, mainly from Ondo Finance's Short-Term U.S. Treasuries Fund (OUSG) as the only anchor and largest investor. According to Ondo, OUSG makes up more than 99% of FDIT assets at this time. The launch is yet another milestone in the continued efforts by major asset managers to tokenize traditional financial products. Fidelity now joins BlackRock, Franklin Templeton, and WisdomTree i ...