BlackRock’s massive tokenized money market fund, BUIDL, is making waves in the crypto world. With a whopping $2.9 billion in assets, it’s poised to become a major player.
BUIDL Takes Center Stage
Crypto exchanges Crypto.com and Deribit will now accept BUIDL as collateral. This means traders can use this yield-bearing stablecoin as security for leveraged trades, freeing up their capital for other investments. This is a big deal, according to Michael Sonnenshein, COO of Securitize, a BlackRock partner. He sees this as a significant step towards tokenized securities becoming a dominant force in crypto, moving beyond just passive investments.
Expanding Reach
Launched in March 2024, BUIDL has already spread across several blockchains, including Arbitrum, Optimism, and Polygon. Crypto.com will offer BUIDL to institutional clients in select regions across its services. Deribit, a leading crypto options exchange, will allow BUIDL as collateral on its spot exchange – a significant shift from its usual Bitcoin-based system. There’s even talk of Coinbase potentially adding BUIDL in the future, given their ongoing acquisition of Deribit.
The Bottom Line
BUIDL’s adoption by major players like Crypto.com and Deribit signals a significant shift in how crypto trading and finance operate. It represents a growing trend of tokenized assets becoming more integrated into the mainstream crypto ecosystem.
