š° Why has BlackRockās BUIDL fund suddenly surged?
BlackRockās BUIDL tokenized fundās assets under management exceeded $552 million on September 22, after issuing tokens to qualified institutional investors via the Securitize platform. This figure should not be conflated with the stablecoin supply offered to retail users, but it does signal that the worldās largest asset manager has effectively entered the blockchain investment space.
Why is this news important?
At its core, this is a signal that traditional finance giants are rushing into the key market of crypto asset management. BlackRockās choice of BUIDL instead of an ETF suggests that what they see is not short-term price volatility, but the certainty of long-term growth driven by the blockchainās underlying technology. Since the fund is only available to institutions, it indicates that BlackRock believes the risks are still too high at this stage, and they prefer to use an āinstitution-onlyā threshold to filter for projects that can survive through market cycles.
Impact on the market
In the short term, this may boost institutional investorsā demand to allocate to crypto assets. However, when it comes specifically to BTC/ETH, the impact could be uneven. Tokens held in the BUIDL fund may create ongoing buy-side momentum. Still, because the fundās size is only about 0.2% of the entire crypto market, it is unlikely to drive a breakout of the $116.48Kā$116.48K range. In the long run, if this model is replicated, it could lead to a āpublic-offering levelā blockchain asset category, changing the current supply-demand dynamics that are largely driven by VCs and retail investors.
š” I believe this expansion in scale is a milestone toward the normalization of blockchain asset allocation. If broader regulatory cooling occurs within the next month, this trend could accelerate. If the Fed unexpectedly hikes rates in October, this assessment would be void.
[Assessment conditions for invalidation] If the Fedās unexpected rate hike in October exceeds 50 basis points, this assessment is void
[Disclosure of stance] This article has no project sponsor involvement, and the author holds no positions in the assets mentioned
[Source attribution] According to Bitcoinist
$BTC $ETH #BTC #ETH
ā ļø Not investment advice; predictions are for reference only
#Live Hotspots on the Plaza: Bitcoin Tops $87K At Eight-Month High
BlackRockās BUIDL tokenized fundās assets under management exceeded $552 million on September 22, after issuing tokens to qualified institutional investors via the Securitize platform. This figure should not be conflated with the stablecoin supply offered to retail users, but it does signal that the worldās largest asset manager has effectively entered the blockchain investment space.
Why is this news important?
At its core, this is a signal that traditional finance giants are rushing into the key market of crypto asset management. BlackRockās choice of BUIDL instead of an ETF suggests that what they see is not short-term price volatility, but the certainty of long-term growth driven by the blockchainās underlying technology. Since the fund is only available to institutions, it indicates that BlackRock believes the risks are still too high at this stage, and they prefer to use an āinstitution-onlyā threshold to filter for projects that can survive through market cycles.
Impact on the market
In the short term, this may boost institutional investorsā demand to allocate to crypto assets. However, when it comes specifically to BTC/ETH, the impact could be uneven. Tokens held in the BUIDL fund may create ongoing buy-side momentum. Still, because the fundās size is only about 0.2% of the entire crypto market, it is unlikely to drive a breakout of the $116.48Kā$116.48K range. In the long run, if this model is replicated, it could lead to a āpublic-offering levelā blockchain asset category, changing the current supply-demand dynamics that are largely driven by VCs and retail investors.
š” I believe this expansion in scale is a milestone toward the normalization of blockchain asset allocation. If broader regulatory cooling occurs within the next month, this trend could accelerate. If the Fed unexpectedly hikes rates in October, this assessment would be void.
[Assessment conditions for invalidation] If the Fedās unexpected rate hike in October exceeds 50 basis points, this assessment is void
[Disclosure of stance] This article has no project sponsor involvement, and the author holds no positions in the assets mentioned
[Source attribution] According to Bitcoinist
$BTC $ETH #BTC #ETH
ā ļø Not investment advice; predictions are for reference only
#Live Hotspots on the Plaza: Bitcoin Tops $87K At Eight-Month High
