BlackRock, the world's largest asset manager, has filed a preliminary application for shares based on digital ledger technology (DLT) for its money market fund.
Preliminary Filing for DLT Shares
On April 29, BlackRock filed a preliminary prospectus with the Securities and Exchange Commission (SEC). The shares will track the BLF Treasury Trust Fund, which manages $150 billion in assets primarily comprised of Treasury bills and cash. The shares will be sold through the Bank of New York (BNY) Mellon, maintaining a mirror record of transactions on the blockchain.
Current Tokenized Products
BlackRock is actively exploring blockchain technologies, highlighted by the launch of the tokenized product BUIDL, the largest tokenized treasury product in the market. Currently, BUIDL manages $2.556 billion in assets and has seen over $600 million in net inflows in the last month. The total market for tokenized treasuries now stands at $6.16 billion.
Bitcoin ETF Shares and Their Impact
BlackRock's Bitcoin ETF product, IBIT, has seen a significant increase in inflows, recording $970.9 million on April 22. The product currently holds over $50 billion in assets and has achieved positive performance despite competition and outflows in other funds.
The implementation of digital ledger technology and the tokenization of financial products are becoming increasingly relevant for traditional financial institutions, potentially leading to future growth and enhanced accessibility of financial services.
