BlackRock Tokenized Asset Fund Launched With $100 Million USDC Funding

Key Points:

• BlackRock teams up with Securitize to launch a tokenized asset fund, seeding it with $100 million in USDC stablecoin on Ethereum.
• BlackRock tokenized asset fund creation mirrors rising interest in tokenizing real assets via blockchain.
• The move comes after BlackRock’s success with spot Bitcoin ETF, signaling a deeper dive into digital assets.

Asset management giant BlackRock Inc. is set to venture further into the realm of digital assets with the launch of the BlackRock tokenized asset fund in partnership with Securitize, a digital asset specialist.

BlackRock Tokenized Asset Fund Launched

According to a filing with the US Securities and Exchange Commission dated March 14, the new fund, named “BlackRock USD Institutional Digital Liquidity Fund Ltd.,” will be established in collaboration with Securitize.

Observers noted a significant transfer of $100 million USDC stablecoin from BlackRock to a Securitize-related address on the Ethereum network, hinting at a possible seed investment into the BlackRock tokenized asset fund. The establishment of this fund underscores the growing interest in tokenizing real-world assets, aiming to enhance transactional efficiency through blockchain technology.

BlackRock Expands Digital Footprint Beyond Bitcoin with New Fund

The BlackRock tokenized asset fund, incorporated in the British Virgin Islands, will operate as a pooled investment fund, with a minimum investment requirement of $100,000 from external investors. While the exact size of the fund remains undisclosed, applications for investments range from $1 to $100 million.

This announcement comes amidst anticipation of the approval of a spot Ethereum ETF by the SEC, following the green light given to 11 spot Bitcoin ETFs earlier. BlackRock’s expansion into digital assets signifies a broader strategic move into the burgeoning sector, with its Bitcoin ETF already amassing over $15 billion in assets under management since its launch.