Key Highlights
- BlackRock’s tokenized $2.9B U.S. Treasury fund, BUIDL, is now live on the BNB Chain.
- Binance has integrated BUIDL as off-exchange collateral, allowing traders to use the yield-bearing asset as security for trading.
- The collaboration advances the Real-World Asset (RWA) tokenization sector, bridging traditional finance stability with crypto market liquidity and efficiency.
BlackRock, the asset management giant, has expanded its tokenized USD Institutional Digital Liquidity Fund (BUIDL) to the BNB Chain. The fund, which holds U.S. Treasury assets and manages over $2.9 billion, gained further utility as Binance began accepting BUIDL as off-exchange collateral for institutional trading. This move provides a way for institutional capital to enter the digital asset space while still earning yield from real-world assets (RWA).
BUIDL gives qualified investors exposure to U.S. Treasuries and sets out to deliver a competitive yield of 3.7%. Integration into the BNB Chain was enabled through BUIDL’s tokenization partner, Securitize, and the cross-chain interoperability protocol, Wormhole, allowing seamless movement and use of the asset across diverse blockchain networks.
Binance adds BUIDL as an offering
Binance has now added BUIDL as one of the eligible collaterals for its institutional off-exchange settlement offerings, including Binance Banking Triparty and MirrorRSV. Essentially, institutional traders would hold BUIDL tokens with a third-party custodian so they may mitigate counterparty risk and use those tokens’ value as collateral to tap deep liquidity and trade on Binance. All the while, this structure allows them to earn the yield generated by the tokenized Treasuries without ever having to liquidate.
The expansion to BNB Chain follows an existing multi-chain strategy by BlackRock and Securitize that has already seen BUIDL deployed across networks such as Solana and Polygon. Arbitrum and Avalanche, among others, are demonstrating a clear focus on making the product a foundational, interoperable building block across the Web3 financial landscape.
Carlos Domingo, Co-founder and CEO of Securitize, said, “BUIDL’s expansion to BNB Chain and its use as collateral on Binance further extends its reach and utility.” He added, “We’re continuing to bring regulated real-world assets onchain while unlocking new forms of utility that were previously out of reach.”
BUIDL further extends access to a new class of institutional investors and DeFi applications by adding BNB Chain, a network known for its scale, low transactional costs, and active ecosystem. Securitize and Wormhole’s role in enabling multi-chain operation suggests a continuous plan to deploy BUIDL across every major, institution-friendly blockchain, ensuring it remains the primary, liquid, on-chain representation of a secure U.S. dollar yield.
The collaboration fosters RWA tokenization
This launch is a part of the growing Real-World Asset (RWA) tokenization trend. It signals an institutional validation that tokenized securities are not just an experiment but are becoming a fundamental layer of the digital financial system. For institutional traders, it means more efficient capital deployment, i.e., they can essentially trade for free on a net-cost basis, as the yield from their collateral can offset trading fees and costs.
The collaboration between BlackRock, Securitize, Wormhole, and Binance creates an integrated financial infrastructure that bridges the two financial worlds more firmly than ever before.
BlackRock’s launch of the $2.9 billion BUIDL fund on BNB Chain and its acceptance as collateral on Binance marks a step in the evolution of financial markets. It provides institutional investors with a high-utility, regulated, and yield-bearing asset that perfectly blends the stability of traditional U.S. Treasuries with the efficiency of blockchain technology. This move redefines capital management in institutional crypto trading, solidifying the role of tokenized real-world assets as a driving force in the future of finance.
