BlackRock to launch tokenized investment fund

Securitize Markets digital asset platform is listed as the organizer of the sale

20.03.2024 - 09:00

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What’s new? BlackRock, the world’s largest investment firm, is launching a tokenized private equity fund with digital asset manager Securitize. So, on March 14, the firm filed a Form D, or notice of exempt securities offerings, with the US Securities and Exchange Commission (SEC) regarding its USD Institutional Digital Liquidity Fund. According to the filing, the combined investment fund will require outside investors to contribute a minimum of $100 000.

The notice to the SEC

What else is known? According to the notice, the anticipated sales fees for the fund will be $525 000, with no brokerage fee specified. The document also does not specify a launch date for the fund. Securitize Markets, a digital asset platform based in Miami, is listed as the organizer of the sale.

A token called BlackRock USD Institutional Digital Liquidity Fund (BUIDL) was created on March 5 on the Ethereum blockchain, according to Etherscan. It has a maximum of 100 coins, with BUIDL having only one holder so far.

After launching spot bitcoin exchange-traded funds (ETFs) in the United States, BlackRock's IBIT fund has accumulated $15,5 billion in assets under management, becoming the second-largest BTC ETF after Grayscale’s GBTC, according to The Block. The company itself has more than $9 trillion under management.

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The Form D filing for the new tokenized fund suggests that the issuer does not need to go through the lengthy SEC registration process. At the same time, BlackRock is awaiting approval of an application to launch an Ethereum-based spot ETF, but in early March, the SEC postponed the deadline for making a decision on it.

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