BlackRock launches the first tokenized asset fund BUIDL on the Ethereum network

ChainCatcher news, according to businesswire, BlackRock launched its first tokenized fund issued on a public blockchain this Wednesday—the BlackRock U.S. Dollar Institutional Digital Liquidity Fund (acronym BUIDL). BUIDL will be subscribed through Securitize Markets, LLC, providing qualified investors with the opportunity to earn dollar returns.

Tokenization remains a key focus of BlackRock's digital asset strategy. Through the tokenization of the fund, BUIDL will bring significant benefits to investors by enabling ownership issuance and trading on the blockchain, expanding investor access to on-chain products, providing instant and transparent settlement, and allowing cross-platform transfers. BNY Mellon will facilitate interoperability between the digital and traditional markets for the fund.

It is reported that BUIDL is a stable asset pegged to the U.S. dollar, with BlackRock directly paying daily accrued dividends as new tokens into investors' wallets. The fund will invest 100% of its total assets in cash, U.S. Treasury securities, and repurchase agreements, allowing investors to earn returns while holding tokens on the blockchain.