The market's largest Tokenize government bond fund – BlackRock USD Institutional Digital Liquidity Fund (BUIDL) – has just officially expanded to BNB Chain, marking a deep cooperation between the world's largest asset manager and the world's largest crypto exchange .
BUIDL’s integration with BNB Chain allows this fund, which has a Capital of over $2.5 billion, to be used as off-exchange collateral for trading on Binance. This is XEM an important step in the process of bringing traditional financial products to the blockchain in a safe and compliant manner, right at a time when the market is exploding with demand for stable yielding assets.
In a joint statement, Binance and BlackRock emphasized that this expansion further solidifies BUIDL’s Vai as “a foundational component of on-chain finance,” helping institutions and traders increase Capital efficiency while maintaining the safety of Tokenize U.S. Treasury bonds.
According to Catherine Chen, Head of VIP & Institutional at Binance, BUIDL is directly connected to triparty asset management banks – which typically provide short-term, secure Capital – along with the exchange’s crypto custody partner Ceffu. She said many institutional clients are looking for assets that both yield interest and can be used as collateral for ongoing trading, and BUIDL fits the bill.
BUIDL functions like asset-backed stablecoins, with the goal of maintaining a USD- Peg value but backed by a Tokenize portfolio of US Treasury bonds. The product, issued by Securitize, is now live on the Ethereum mainnet, as well as many Layer-1 and Layer-2 networks such as Aptos, Avalanche, Solana, Arbitrum, Polygon , and Optimism.
