Over $240 million raised in 7 days, the winner of BlackRock Fund BUIDL is Ondo

Written by: Fu He Huo, Odaily Planet Daily

As the world's largest asset management company, BlackRock successfully launched a Bitcoin spot ETF at the beginning of the year, raising more than $13 billion in funds, and is now among the top Bitcoin spot ETFs, with total Bitcoin holdings second only to Grayscale. The success of the Bitcoin spot ETF has allowed BlackRock to continue to focus on the crypto industry.

On March 20, BlackRock announced a partnership with Securitize to launchTokenBlackRock USD Institutional Digital Liquidity Fund (BUIDL) has attracted more than 240 million USD in just one week since its launch, and Ondo, a well-known RWA project, also participated in the event.

BlackRock announced the launchTokenAfter the fund was BUIDLed, according to CoinGecko data, the RWA-related coin-issuing projects in the crypto market have seen a significant increase, among which the Ondo projectToken ONDO increased by more than 130%, and XDC Network project token XDC increased by more than 28.5%.

Why does the launch of BlackRock’s tokenized fund BUIDL have such a significant impact on the RWA sector?

To this end, Odaily Planet Daily will introduce the overview of BUIDL, the relevant developments since its launch, and its impact on the future RWA sector.

BlackRock Tokenized Fund BUIDL Overview and Recent Developments

The tokenized fund BUIDL is jointly issued by BlackRock and Securitize based on Ethereum and is operated and managed by BlackRock Financial Management, Inc. BUIDL mainly invests in cash, U.S. Treasury bonds and repurchase agreements. Fund investors must meet the qualifications of "qualified investors" and will receive BUIDL tokens of equal value. Each BUIDL token is worth $1 and is backed by Securitize's crypto.walletTransfer tokens to other verified addresses, but investors transfer tokens BUIDL and the recipient must meet its review conditions.

Carlos Domingo, founder and CEO of Securitize, a partner of the fund, believes that the tokenized fund BUIDL mainly serves three use cases.

• Looking forBlockchainCrypto companies that manage their funds on

• Become the underlying asset of the RWA project;

• An alternative to stablecoins that can be used as collateral for lending and trading.

It is worth noting that the income earned from holding BlackRock USD Institutional Funds is not registered with the U.S. Securities and Exchange Commission (SEC). Therefore, the interest generated by staking BUILD may not becryptocurrencyDomingo responded that the SEC has not yet issued any information onBlockchainRecommendations for tokenization.

At present, the BUIDL fund has been launched for nearly a month. According to 21.co's data analysis on Dune, the BUIDL fund has attracted US$286.35 million, only lower than BENJI, a tokenized fund based on the Stellar chain launched by FOBXX.

As can be seen from the above figure, Ondo FinanceXiaobai Navigation It also holds $198 million in the tokenized U.S. bond market, ranking third in market share. It is worth mentioning that less than a week after BlackRock launched the tokenized fund BUIDL, Ondo Finance announced an investment of more than $95 million in it, accounting for more than 33% of the BUIDL fund shares, and is currently the largest holder of the BUIDL fund.

According to the transaction records of the block browser, on April 1, the tokenized fund BUIDL made its first dividend payment to 8 investors, among which Ondo address 0x 7 2B... 6 3D received more than 70,000 BUIDL tokens.

Subsequently, according to the transaction records of the Ondo chain address, on April 3, Ondo Finance allegedly conducted the first redemption test of the BUIDL fund, transferring 250,000 BUIDL tokens to the Securitize address 0x 878…200, and then transferred them into the black hole through this address for destruction.

Since the issuance of the BUIDL Fund, most of the fund's operating procedures have been completed, including issuance, dividend distribution, and repurchase. Although the official annualized rate of return of the BUIDL Fund has not been marked, it is estimated based on the amount and time of its dividend distribution that the APY is about 5.3%, which exceeds the yield of most RWA projects' US Treasury products.

ONDO may become the "last chance" for most investors in the RWA sector

The RWA sector has been gaining popularity since last year, and more and more people are discussing RWA at many Web3 industry summits. However, compared with foreign countries,Community,ChineseCommunityIn fact, there is not much response to this. The most important point is that most RWA project products have restrictions on Chinese-speaking investors. From a certain perspective, buying RWA products is not easier than buying US stocks in reality.

However, will the RWA sector, which may reach trillions in the future, be out of reach for ordinary retail investors? Odaily analyzed that the ONDO token may become one of the few targets for most retail investors who cannot buy RWA products to participate in the RWA wave.

In the past, most RWA projects used to establish independent SPVs to manage user investment funds, but both purchase and redemption required certain time limits, which was not conducive to attracting most Web3 investors. However, BlackRock’s launch of the tokenized fund BUIDL has opened a door to connect traditional finance and Web3 to a certain extent, but this is not for investors, but for most RWA projects.

According to the BlackRock BUIDL operating rules, after investing in the fund, investors will receive an equal amount of BUIDL tokens and daily dividends, and can transfer them when conditions permit. This move optimizes the complicated purchase and redemption mechanism of the RWA project. Ondo Finance also replaced most of the underlying assets of OUSG (tokenized US Treasury bonds) with BUIDL within less than a week of its issuance.

In addition, you can refer to the article previously published by Odaily, Ondo Finance: Successful transformation, TVL jumped to the top three in the RWA track. Although ONDO has risen significantly in this round, the ONDO token was issued before the transformation, and it has little to do with the current RWA. The ONDO token has met the relevant narrative and still has room for growth. As the current leader of the RWA sector, the rise of the ONDO token also marks the development of the RWA sector to a certain extent. Combined with the psychology of most investors who are rejected by RWA products, Ondo Finance may become the "last chance."

The article comes from the Internet:Over $240 million raised in 7 days, the winner of BlackRock Fund BUIDL is Ondo

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