BlackRock, the world’s largest asset manager with $14 trillion in assets under management, has taken bold steps to accelerate its presence in the digital finance arena. The company recently filed two separate applications, signaling its intention to bring blockchain-based U.S. Treasury bills and money market funds onto the digital asset landscape. Each move highlights BlackRock’s commitment to leading the evolution of traditional finance into a new era mediated by blockchain technology.
New fund structure and technical details
According to filings submitted to the U.S. Securities and Exchange Commission (SEC), BlackRock is proposing the establishment of a new fund called the “BlackRock Daily Reinvestment Stablecoin Reserve Vehicle.” This fund would invest primarily in cash, short-term U.S. Treasury securities, and government-backed overnight reverse repurchase agreements. A standout feature of this fund is its offering of “on-chain shares” to investors, allowing a direct blockchain-based claim.
These shares would be distributed via a permissioned infrastructure across multiple public blockchains. The official record of shareholders will be maintained by Securitize Transfer Agent LLC, utilizing a system that links both blockchain addresses and off-chain investor identities. This approach ensures robust compliance while leveraging blockchain’s transparency.
While the filing did not specify which blockchains would be supported initially, BlackRock set a minimum investment requirement of $3 million for participating investors, underscoring an institutional focus for this novel fund structure.
Blockchain share class for classic funds
In a separate move, BlackRock sought SEC approval to launch a blockchain-based share class for its established “BlackRock Select Treasury Based Liquidity Fund,” which currently manages around $7 billion in assets. This new share class would maintain official ownership records on the Ethereum blockchain, adhering to the ERC-20 token standard.
BNY Mellon Investment Servicing is set to serve as the fund’s transfer agent, combining on-chain registration with off-chain identity verification systems. Through this hybrid solution, wallet holders will have their identities integrated seamlessly into official shareholder records.
Tokenization and market growth
These initiatives mark BlackRock’s intensifying interest in asset tokenization—a rapidly expanding segment in the digital asset ecosystem. Tokenization refers to the process of creating digital representations of traditional assets such as funds, bonds, and equities, leveraging blockchain for enhanced efficiency, transparency, and around-the-clock transaction capabilities.
According to rwa.xyz, the tokenized real-world asset market has grown by 200% over the past year, surpassing $30 billion in market value. A joint report by Boston Consulting Group and Ripple projects that this market could skyrocket to $18.9 trillion by 2033, revealing massive growth potential for institutional players.
Larry Fink has long supported tokenization as a means of modernizing financial infrastructure. In 2024, BlackRock, in partnership with Securitize, launched its first tokenized money market fund “BUIDL.” The fund’s assets have quickly reached $2.5 billion, becoming increasingly popular within the crypto sector as collateral.
BlackRock’s proactive approach continues to position the company at the forefront of global financial innovation, particularly as it leads the way in integrating crypto and blockchain solutions into the traditional investment sector.
