BlackRock says tokenized funds are expanding toward collateral use in traditional finance
BIBIBI
AT A GLANCE
BlackRock said tokenized assets are shifting toward financial circulation uses such as collateral, around-the-clock trading, and reducing redemptions.
Article
BlackRock: Tokenized funds are accelerating their integration into Wall Street’s underlying financial plumbing
PANews October 19 According to Bloomberg, BlackRock stated that Wall Street’s use of blockchain is shifting from simply “digitizing” stocks, bonds, and money market funds to changing how these assets circulate within the financial system, with a focus on allowing tokenized assets to serve as collateral, support investors’7×24 hours of trading, and reduce redemption needs when ownership is transferred. Dan Maley, head of its Asia-Pacific cash business, said that BlackRock’s tokenized funds are already used as collateral in digital asset markets, but expansion into traditional finance remains constrained by bank acceptance, market infrastructure, and regulatory certainty. Its first tokenized money market fund BUIDL since 2024 was launched, has grown to approximately 2300000000 USD; the company has launched tokenized cash products in the United States and Europe, and in September received...
BlackRock stated that Wall Street’s use of blockchain is shifting from “digitizing” stocks, bonds, and money market funds to changing how these assets circulate within the financial system.
03
The key uses listed in the article include serving as collateral and supporting investors’7×24 hours of trading, as well as reducing redemption needs when ownership is transferred.
04
Dan Maley said that BlackRock’s tokenized funds are already used as collateral in digital asset markets.
05
Expansion into traditional finance remains constrained by bank acceptance, market infrastructure, and regulatory certainty.
06
BUIDL Since 2024 was launched, its scale has grown to approximately 2300000000 USD。
07
BlackRock has launched tokenized cash products in the United States and Europe.
AI-assisted interpretation
The following is analysis, separate from reported facts. Verify important claims independently.
Tokenized funds are products that represent fund interests in the form of blockchain tokens. The change described by BlackRock is not merely recording traditional assets in digital form, but attempting to allow them to participate directly in collateralization, around-the-clock trading, and ownership transfers. However, entry into the traditional financial system still faces limitations involving banks, infrastructure, and regulation.
Why it matters to readers
If these uses gain broader acceptance, tokenized funds may assume more functions in asset collateralization and transfers; however, the current evidence only reflects BlackRock’s views, current uses, and limitations on expansion.
Beginners should monitor whether tokenized funds are actually adopted by banks and traditional markets, rather than judging that they have already achieved widespread adoption solely based on a scale of approximately 2300000000 USD or statements such as “7×24 hours of trading.”
Risks and unknowns
The main text is an excerpt from PANews citing Bloomberg and does not provide a complete announcement or primary-source document.
The original text is truncated at “and in September received...,” so the related event cannot be confirmed.
It does not specify which institutions have accepted BlackRock’s tokenized funds as collateral, nor does it disclose the specific scale of use.
Bank acceptance, market infrastructure, and regulatory certainty remain constraints on expansion into traditional finance.
Related Developments
Loading event timeline…
The evidence does not specify BUIDL the specific statistical date for the scale of approximately 2300000000 USD.
Related concepts
tokenized assets
This term is not in the glossary yet. Browse related concepts in the glossary.
An asset provided by a counterparty to guard against potential losses, which may be liquidated in the event of default to compensate the lender for its loss.
