Global giants foresee trillion-dollar growth in the field of tokenizing real-world assets (RWA). Asset managers and banks are making the biggest strides in this area. BlackRock, the world’s largest asset manager, manages over $10 trillion in assets and made its biggest move in the RWA field with BlackRock USD Institutional Digital Liquidity.
BlackRock and RWA
BlackRock USD Institutional Digital Liquidity (BUILD) now manages $502 million in assets. With a value exceeding half a billion dollars, BlackRock is rapidly expanding its first major step in the RWA field. The BlackRock USD Institutional Digital Liquidity (BUIDL) fund has surpassed the fund initiated by Franklin, marking another significant milestone.
The US Treasury-backed tokenized fund was launched on the Ethereum network in March. Securitize Markets was tasked with issuing the fund, and BUILD has become the world’s most valuable tokenized treasury fund, and this is just the beginning.
Securitize CEO Carlos Domingo said in a statement:
“We are very excited about the adoption and growth we are seeing for BUIDL.”
Franklin OnChain U.S. Government Money Fund is the second-largest tokenized fund. Another alternative for US bonds is Ondo Finance’s USD Yield fund (USDY), which has approximately $281 million in tokenized assets.
RWA and Crypto
Many banks and institutions have taken significant steps in the tokenization of real-world assets. Ethereum is the largest infrastructure provider here. Many major institutions, including Chinese banks, are issuing assets on the Ethereum network. This indicates that in the long term, Ethereum could be the main issuance point alongside solutions like Chainlink’s CCIP.
Following the ETF listing, the combination of the RWA story with the Ethereum network could create strong demand from large fund managers and even investors familiar with traditional markets. This will both strengthen Ethereum’s role in the growth of the RWA field and likely trigger a new wave of increase in altcoins by boosting the ETH price.
RWA is still in its early stages, and as the snowball continues to grow, time will show us the power of integration with crypto.
