[BlackRock's Tokenized Money Market Fund BUIDL Manages $2.3 Billion in Assets, Plans to Expand Collateral Usage] BlockBeats News, October 19, according to Bloomberg, the world's largest asset management company BlackRock is exploring expanding the application scope of tokenized assets from the crypto market to traditional financial sectors, enabling them to be used not only as collateral but also for payments. BlackRock is shifting its focus from issuing stocks, bonds, and money market funds on blockchain networks to improving the transfer methods and collateral usage of these assets. Through tokenization, investors can directly transfer their held assets to other investors or use them as trading collateral without first redeeming them for cash. BlackRock is also continuously expanding its tokenized product portfolio. The company's tokenized money market fund BUIDL, launched in 2024, has grown its managed assets to approximately $2.3 billion. Subsequently, related products were introduced in the U.S. and Europe, and in September this year, approval was obtained to launch a digital liquidity fund denominated in Hong Kong dollars. However, while tokenized assets can be transferred on blockchain networks around the clock, this does not mean they can be redeemed for cash at any time. The International Monetary Fund has pointed out that fragmentation between platforms and legal uncertainties are major factors hindering the development of tokenized assets. The International Swaps and Derivatives Association (ISDA) also stated that issues such as custody arrangements, collateral rules, and cross-border legal recognition remain to be resolved. Nikhil Sharma, Director of BlackRock's Digital Assets Team, stated that early users of tokenized funds were primarily participants in the crypto market who sought to earn yields while holding stablecoins. He added that the key lies in establishing relevant integration mechanisms, allowing traditional financial institutions to use tokenized products without needing to build independent systems. He expects the application scope of related products to further expand over time. [Original Link]