The BlackRock USD Institutional Digital Liquidity Fund (BUIDL), tokenized by Securitize, has surpassed $1 billion in assets under management (AUM)—a landmark achievement that underscores the accelerating adoption of tokenized real-world assets (RWAs) in institutional finance. Launched in March 2024, BUIDL marks BlackRock’s first foray into issuing a tokenized fund on a public blockchain, setting a new benchmark for digital asset innovation.
This milestone reflects growing confidence among institutional investors in blockchain-based financial instruments that combine yield generation, liquidity, and operational efficiency—all backed by one of the world’s most trusted asset managers.
Revolutionizing Institutional Access to On-Chain Yield
BUIDL provides qualified investors with seamless access to U.S. dollar-denominated yields directly on-chain. The fund’s structure enables daily dividend payouts, flexible custody solutions, and near real-time peer-to-peer transfers available 24/7/365. These capabilities are transforming how institutions manage treasury operations, collateral, and stablecoin reserves.
Key use cases include:
- Treasury management: Corporations and funds can earn yield on idle cash while maintaining liquidity.
- Stablecoin backing: Offers a regulated, transparent alternative to traditional stablecoin reserves.
- DeFi integration: Enables participation in decentralized finance protocols with compliant, auditable assets.
- Trading collateral: Serves as high-quality collateral across centralized and decentralized exchanges.
By combining BlackRock’s creditworthiness with blockchain efficiency, BUIDL reduces counterparty risk and enhances transparency—two critical factors driving institutional adoption.
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Multi-Chain Expansion and Interoperability
Initially launched on Ethereum, BUIDL has rapidly expanded across multiple high-performance blockchains, including Aptos, Arbitrum, Avalanche, Optimism, and Polygon. This multi-chain strategy ensures scalability, lower transaction costs, and broader accessibility for global institutions.
Cross-chain interoperability is powered by Wormhole, enabling secure and seamless transfers of BUIDL tokens between ecosystems. This infrastructure supports frictionless movement of value without sacrificing security or settlement finality—crucial for enterprise-grade applications.
Trusted Custody and Regulatory Compliance
Security and compliance are foundational to BUIDL’s design. The fund benefits from a robust custody framework involving leading digital asset custodians such as Anchorage Digital, BitGo, Copper, and Fireblocks. Additionally, Bank of New York Mellon (BNYM) acts as the cash and securities custodian, providing traditional financial oversight and auditability.
This hybrid model—merging regulated financial infrastructure with decentralized technology—creates a trusted bridge between traditional finance (TradFi) and on-chain markets.
Core Keywords
- Tokenized fund
- Real-world assets (RWA)
- Institutional digital liquidity
- Blockchain finance
- On-chain yield
- BlackRock BUIDL
- Securitize
- Digital asset management
These keywords reflect the evolving landscape of asset tokenization and align with rising search demand from investors seeking secure, yield-generating digital instruments.
Industry Leaders Weigh In on BUIDL’s Impact
Carlos Domingo, Co-founder and CEO of Securitize, emphasized the significance of this milestone:
"BlackRock's BUIDL surpassing $1B in AUM represents a significant moment for on-chain finance. We are proud of our pioneering work to make this product a reality, which demonstrates that tokenized securities are not just a concept, but a tangible innovation. BUIDL has set a new standard, proving to the investment community that this market is here to stay—and the momentum behind that recognition is only growing."
Joseph Chalom, Head of Strategic Ecosystem Partnerships at BlackRock, added:
"BUIDL showcases the viability of real-world assets on-chain, offering institutional investors enhanced liquidity, flexibility, and yield opportunities. We're grateful to Securitize, BNYM and all of our partners, and we are thrilled to see BUIDL's growth accelerate even further."
Their statements highlight a shared vision: tokenization is no longer experimental—it’s operational, scalable, and gaining mainstream traction.
The Future of Tokenized Real-World Assets
As demand for transparent, efficient, and yield-bearing digital assets grows, BUIDL is positioned to expand into additional blockchain ecosystems and introduce new utility layers. Potential future developments include integration with institutional lending protocols, automated compliance tooling, and programmable payment streams.
Moreover, Securitize continues to collaborate with top-tier asset managers—including Apollo, Hamilton Lane, and KKR—to bring more regulated tokenized products to market. As a SEC-registered broker-dealer, digital transfer agent, and operator of a SEC-regulated Alternative Trading System (ATS), Securitize combines regulatory rigor with cutting-edge technology.
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Frequently Asked Questions (FAQ)
Q: What is the BlackRock USD Institutional Digital Liquidity Fund (BUIDL)?
A: BUIDL is a tokenized money market fund issued by BlackRock and powered by Securitize. It offers qualified investors exposure to U.S. dollar yields on-chain with daily dividends and 24/7 transferability.
Q: How does BUIDL differ from traditional money market funds?
A: Unlike traditional funds limited by banking hours and settlement delays, BUIDL operates on public blockchains, enabling near-instant transfers, continuous availability, and integration with DeFi applications.
Q: Who can invest in BUIDL?
A: BUIDL is available exclusively to qualified institutional investors who meet regulatory requirements for participation in private placement offerings.
Q: Which blockchains support BUIDL?
A: BUIDL is live on Ethereum, Aptos, Arbitrum, Avalanche, Optimism, and Polygon, with cross-chain functionality enabled via Wormhole.
Q: Is BUIDL regulated?
A: Yes. While the tokens themselves are issued on-chain, the underlying fund structure complies with U.S. securities regulations. Bank of New York Mellon serves as custodian, and Securitize ensures compliance through its regulated entities.
Q: What risks are associated with investing in tokenized funds like BUIDL?
A: Risks include market volatility, regulatory uncertainty, cybersecurity threats, and potential illiquidity in secondary markets. Investors should conduct due diligence and consult financial advisors before participating.
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Conclusion
The $1 billion AUM milestone achieved by BlackRock’s BUIDL, powered by Securitize, signals a pivotal shift in institutional finance. It validates the demand for regulated, efficient, and innovative digital asset solutions that merge the strengths of traditional finance with the agility of blockchain technology.
As real-world asset tokenization gains momentum, products like BUIDL will continue to redefine how capital moves—offering unprecedented access, transparency, and utility across global markets.