BlackRock aims to introduce its digital asset BUIDL for securing crypto derivatives. This asset is targeted at institutional investors and possesses unique properties that make it a market contender.

BUIDL Token Implementation Plans

American asset management company BlackRock plans to introduce its digital asset BUIDL as collateral for crypto derivatives trading. According to Bloomberg, the company discusses the implementation of the token with major industry players such as Binance, OKX, and Deribit, as well as brokerage firms FalconX and Hidden Road.

Features and Mechanism of BUIDL

BUIDL differs from other stablecoins as it pays interest to holders. According to Dune Analytics, the token's total market circulation is about $557 million, with a management fee of 0.5%. BlackRock focuses on investing in safe assets like Treasury bills and US cash, helping to maintain the token's stability.

Future of BUIDL in the Crypto Market

BUIDL is expected to become a strong market competitor due to its liquidity and stability. Komainu, a digital asset custody solution provider, commented that BUIDL investors will have the opportunity to trade via Hidden Road. Meanwhile, Deribit is considering accepting the token as collateral pending regulatory approval.

BUIDL by BlackRock aims to secure a significant place in the cryptocurrency market thanks to its unique features. If major platforms accept the token, it could lead to substantial growth.