BlackRock, a leading investment management company, has announced the launch of a new fund called the BlackRock USD Institutional Digital Liquidity Fund. This fund, which is based in the British Virgin Islands, was introduced in collaboration with Securitize, a firm that specializes in asset tokenization. While the specific assets held by the fund have not been disclosed, Securitize’s involvement suggests that it may involve tokenizing real-world assets.
Following the announcement of this new fund, the price of Ondo Finance’s native token ONDO saw a significant increase, rising by 20% and continuing to climb by 12% over the past 24 hours. Ondo Finance operates a platform for tokenizing real-world assets.
In recent blockchain data, $100 million in Circle’s USDC stablecoin was moved to an address related to a Securitize deployer. While this move has not been confirmed as a seed investment into the fund yet, it potentially indicates BlackRock’s interest in investing in digital assets. This move follows their recent launch of a spot-based Bitcoin exchange-traded fund (ETF) and their filing for an Ethereum-focused ETF.
In an interview with CNBC earlier this year, BlackRock CEO Larry Fink discussed his belief that Bitcoin and Ethereum ETFs are just the beginning of a trend towards further tokenization of assets. Tokenization of real-world assets is becoming increasingly popular as traditional assets are placed on blockchain platforms to enable faster settlements and improved efficiency. As more companies like BlackRock enter this space, we can expect even more innovation in this growing sector.
