BlackRock strengthens tokenization push with BUIDL’s multi-chain expansion
BlackRock's USD Institutional Digital Liquidity Fund (BUIDL) has expanded to multiple blockchain networks, including Aptos, Arbitrum, Avalanche, Optimism, and Polygon. This move aims to enhance tokenization efforts and transform BUIDL into a multi-chain asset, allowing users to access it more efficiently. The fund primarily invests in US Treasuries, cash, and liquid assets, offering features like on-chain yield, flexible custody, real-time peer-to-peer transfers, and on-chain dividend distribution. BUIDL became the largest tokenized fund by assets under management shortly after its Ethereum launch, with a market capitalization of $518 million. The expansion provides new investment opportunities for decentralized autonomous organizations (DAOs) and digital asset firms. Management fees vary by network, with 20 basis points for Aptos, Avalanche, and Polygon PoS, and 50 basis points for Arbitrum, Ethereum, and Optimism. BlackRock will also receive quarterly fees based on the average value of relevant share classes.
