Alyssa Davidson
Posted: Sep 4, 2024 11:42 AM Updated: Sep 4, 2024 11:42 AM
Edit and fact check: September 4, 2024, 11:42 AM
Briefly
Injective launched a tokenized index for BlackRock’s BUIDL fund, giving users access to the index through a new on-chain financial product.
Injective, a blockchain platform optimized for financial applications, has launched a tokenized index for the BUIDL tokenized fund managed by asset management firm BlackRock, allowing users to participate through innovative on-chain financial products.
BUIDL is BlackRock’s first tokenized fund issued on a public blockchain. It provides institutional investors with the opportunity to earn income from assets such as U.S. Treasuries. Each BUIDL token is valued at a stable $1. Token holders also receive a daily cumulative dividend, paid monthly.
The BUIDL Index introduces an initial perpetual market for BUIDL funds, providing 24/7 access to tokenized assets such as U.S. Treasuries with leverage. The index was developed in partnership with Stork, a decentralized price feed for on-chain and off-chain data. Stork enabled Injective to implement a dedicated Real-World Asset (RWA) oracle during the Altaris mainnet upgrade. This network enhances Injective’s ability to offer tokenized asset options and ensures that the data feed is accurate and secure.
This permanent market index monitors the actual supply of the BUIDL fund itself rather than tracking the price of the underlying asset. This approach responds to the growing demand to track inflows and outflows of BUIDL funds, which have recently become an indicator of institutional interest in cryptocurrencies.
Injective Expands Access to BlackRock’s BUIDL Funds for a Broader Target Audience
Previously, BUIDL funds were limited to institutions with a minimum investment of $5 million. Now, however, the BUIDL index perpetual futures market is available to anyone worldwide with a minimum investment of $1. This change opens up a previously exclusive asset class to a wider audience.
The new product will be available exclusively through a variety of decentralized applications (dApps) on Injective platforms such as Helix. This setup provides a new entry point into tokenized funds, featuring some of the lowest fees and fastest transaction speeds in the cryptocurrency industry.
Injective is a high-speed, interoperable Layer 1 blockchain designed to support the development of leading Web3 financial applications. It provides developers with a variety of advanced plug-and-play modules to facilitate the creation of compelling dApps.
Last month, Injective completed the Altaris mainnet upgrade, introducing several optimization improvements to improve blockchain speed and performance. The upgrade also integrated Wasm 2.0, which provides essential tools for advanced dApp development, IBC hooks and PFM for improved cross-chain functionality. It also included several improvements, including the integration of RWA oracles to provide data on tokenized asset products.
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About the Author
A dedicated journalist for MPost, Alyssa specializes in the vast areas of cryptocurrencies, zero-knowledge proofs, investments and Web3. She has a keen eye for emerging trends and technologies, and provides comprehensive coverage to inform and engage readers in the ever-evolving digital finance landscape.
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Alyssa Davidson
A dedicated journalist for MPost, Alyssa specializes in the vast areas of cryptocurrencies, zero-knowledge proofs, investments and Web3. She has a keen eye for emerging trends and technologies, and provides comprehensive coverage to inform and engage readers in the ever-evolving digital finance landscape.
More Articles