BlackRock, the world’s largest asset management firm, has created a new tokenized asset fund, according to a March 19 SEC filing. The initiative — dubbed the BlackRock USD Institutional Digital Liquidity Fund — is registered in the British Virgin Islands and developed in partnership with San Francisco-based Securitize, a company focused on asset tokenization.
The technical details of the fund and which asset classes it aims to tokenize were not disclosed in the filing and remain unclear. On-chain data shows the fund has been seeded with an initial capital of $100 million USDC on the Ethereum blockchain. The establishment of the BlackRock USD Institutional Digital Liquidity Fund is reflective of the increasing interest in the tokenization of real-world assets. This emerging sector aims to combine the capabilities of digital assets with traditional finance to streamline the settlement process and enhance transactional efficiency via blockchain technology.
With this new venture, BlackRock has positioned itself at the forefront of integrating digital assets with traditional financial services, potentially setting a trend for more institutional investments in blockchain technology.