Investors Sell BlackRock’s BUIDL Fund After a Volatile Weekend
The post Investors Sell BlackRock’s BUIDL Fund After a Volatile Weekend appeared on BitcoinEthereumNews.com.
The asset manager has sent nearly $9 million to Ondo Finance in 2 days for redemption payments. BlackRock, the largest asset manager in the world with over $10 trillion in assets under management, sent $8 million to Ondo Finance on Monday morning to process redemption requests. According to Arkham Intelligence, BlackRock’s real world asset (RWA) fund BUIDL, has sent nearly $9 million USDC to Ondo Finance this week, and Monday’s $5 million move is their largest transfer with the fund yet. Arkham Intelligence The funds were sent to Ondo’s OUSGInstant Manager address, which provides liquid exposure to short-term U.S. Treasuries. OUSG introduced instant mint and redemption settlement on May 3, allowing for 24/7 portfolio management. Prior to this, OUSG settlement could take up to a few business days. When asked about the Monday morning transfers, a Securitize spokesman told The Defiant that the transfer is a redemption. “The easy subscription and redemption process that allows the customers to move funds in and out in a seamless manner to meet their liquidity requirements,” according to Securitize. “Features like that are why the fund is gaining so much traction.” In spite of being the leading tokenized treasury fund, the large redemption repayments indicate that the market’s weekend sell-off may have spooked investors. There was a total of $8.98 million of redemptions transferred to the OUSG wallets over four transactions. BUIDL, short for the BlackRock USD Institutional Digital Liquidity Fund, is BlackRock’s onchain money market fund built with Securitize for institutional investors. The fund currently sits at an all time high market capitalization of $522 million and accounts for over 25% of tokenized U.S. treasuries according to RWA.xyz. In January, BlackRock CEO Larry Fink told Bloomberg in an interview “We believe the next step going forward will be the tokenization of financial assets.…
Filed under: News - @ August 7, 2024 3:20 am