Blackrock Launches its First Tokenisation Fund

What’s the latest in the world of tokenisation?

• 🪙Introducing BUIDL, Blackrocks first $100M tokenised fund

• 🌍 Bank for International Settlements tests tokenised bank deposits with 7 different countries

• 🏦 Sygnum Bank partners with Matter Labs to tokenise $50M of Reserves

Let’s get to it.

Read Time: 4 Minutes

Latest Developments

BLACKROCK

🪙 Blackrock launches its first tokenisation fund - BUIDL

What’s being tokenised: BlackRock, the world's largest asset manager, has stepped into the crypto space by launching its first tokenised fund on the Ethereum network - BUIDL ($100M).

Why is this important?

• The fund aims to offer investors important benefits by enabling the issuance and trading ownership of on-chain offerings.

• This move marks a significant endorsement of digital assets by a major traditional financial institution - one of the top 3 largest in the world.

• BUIDL seeks to offer a stable value of $1 per token and pays daily accrued dividends directly to investors’ wallets as new tokens each month.

• 100% of its assets will be invested in U.S. Treasury bills, cash and repurchase agreements.

What does it mean for investors: For investors, BlackRock's entry into crypto signals increasing mainstream acceptance and may encourage more institutional investment. It offers an opportunity to diversify portfolios and potentially benefit from the growth of digital assets under the management of a renowned financial giant.

BANK OF INTERNATIONAL SETTLEMENTS

🌍 World Central Bank ‘BIS’ begins Project Agora

What’s being tokenised: The Bank for International Settlements (BIS) has announced the launch of Project Agora, a joint venture between seven central banks to harness the power of smart contracts to enhance the effectiveness of the current monetary system.

Why is this important?

• This collaboration aims to leverage blockchain technology to enhance cross-border transactions, reduce costs, and improve financial inclusion.

• Central banks from different countries, including the US Federal Reserve and the European Central Bank, are part of this initiative.

• The goal is to develop a more efficient and transparent financial infrastructure for the digital age.

What does it mean for investors: Investors should monitor these developments closely as they could lead to significant changes in the way money is managed and transferred globally. Tokenisation will streamline processes, potentially unlocking new investment opportunities and fostering greater market liquidity.

SYGNUM BANK/MATTER LABS

🏦 Sygnum Bank & Matter Labs to tokenise $50M Reserves

What’s being tokenised: Sygnum a global digital asset banking group are tokenising $50M of Matter Labs’ treasury reserves onto the zkSync blokchain.

Why is this important?

• This partnership uses zk-rollup technology to tokenise Sygnum's Swiss Franc reserves on Ethereum.

• Matter Labs' zk-rollup technology enables high throughput and scalability while maintaining Ethereum's security guarantees.

• Sygnum seeks to provide investors with real-time transparency and audibility by tokenising its reserves and helps represent a long-term pathway to move treasury reserves on-chain with trusted institutional custodians.

What does it mean for investors: For investors, this collaboration highlights the growing trend of traditional financial institutions embracing blockchain technology for improved transparency and efficiency. Tokenising reserves enhances trust and accountability, potentially attracting more investors to Sygnum's platform and bolstering confidence in the broader crypto ecosystem.

Weekly Resource List

🔭 DeBank: Web3 Portfolio Tracker

When it’s difficult to keep track of what’s where - just sync up any of your wallets and see within seconds where things are. This new gem of a tool we stumbled across gives you a holistic overview of all your holdings across multiple blockchains in one place (link)

👻 Phantom Wallet: Multi-Chain Crypto Wallet

Becoming a favourite wallet to use across crypto. An easy-to-navigate cross-chain compatible wallet (you can use it for SOL & ETH etc) with a user interface that beats most of the competition out of the ballpark (link)

😺🪐 Jupiter: Solana Decentralised Exchange

We only started using Jupiter a few months back and it’s by far our favourite DEX to use. Clean UX, cheap SOL fees, and DCA functionality (link)

🦇 Arkham Insights: Smart Money Insights

An investment tool if you want to understand where ‘Smart Money’ (aka the market makers) are placing their bets then make sure to check it out (link) 

🦙 DefiLlama: Defi Dashboard

Analytics dashboard which shows the Total Value Locked (TVL) across all of the major DeFI protocols (link)

🦎 CoinGecko: Crypto Data and Analysis Platform

Keep up to date with prices, trading volumes, and crucial crypto data (link)

Other Industry News

Want to stay on the cutting edge?

Here’s what else is happening in Crypto you should know about:

• 5 Days Until the Halving: This is a big deal because every four years, the mining rewards for Bitcoin are ‘halved’ - this year from 6.25 > to 3.125. With the supply of available BTC going down and demand rising to be stronger than ever, it’s best to buckle in and get ready for a wild 6 months.

• SEC launches attack against Uniswap: According to Coindesk, Uniswap received a Wells Notice from the SEC. This is a big deal because it’s likely the biggest shot the SEC will take against the DeFi industry - which is worth nearly 50 billion dollars. We think this means similar to how the SEC has gone for Coinbase & Kraken - another DEX could be on the chopping block…

• Hong Kong to Approve BTC ETF by May: According to Coindesk, HK could move for approval of a spot Bitcoin and Ethereum ETF as early as tomorrow. This is a big deal because although we’ve seen approval from the US for Bitcoin’s ETFs, there’s yet to be approval for ETH leaving a gap that could be filled for investors that want exposure now.

That’s it!

As always, thanks for reading.

Hit reply and let me know what you found most helpful this week—we’d love to hear from you!

Until next Sunday,

The Merge