Franklin

Solana

Franklin OnChain U.S. Government Money Fund

USDC

BlackRock

The BlackRock USD Institutional Digital Liquidity Fund is now the largest treasury fund tokenized on a blockchain after it surpassed Franklin Templeton’s product this week.
BlackRock’s six-week-old product, tickered BUIDL, has notched a market cap of $375 million, surpassing the 12-month-old Franklin OnChain U.S. Government Money Fund (BENJI), which sits at $368 million, <a href="https://dune.com/21co/tokenization-government-securities" target="_blank" rel="noopener nofollow">according</a> to a Dune Analytics dashboard. 
It comes as BUIDL took in $70 million in the last week, <a href="https://x.com/OndoFinance/status/1785014529757196571" target="_blank" rel="noopener nofollow">including</a> $50 million from real-world asset tokenization firm Ondo Finance's OUSG token.
Meanwhile, BENJI’s AUM shrunk around 3.7% over the same timeframe.
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 Source: <a href="https://x.com/tomwanhh/status/1785242220922065377" target="_blank" rel="noopener nofollow">Tom Wan</a>
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More than $1.2 billion worth of U.S. Treasurys now exists across Ethereum, Polygon, Solana and other blockchains.
Blockchain-based tokenization of real-world assets has become a hot topic lately, with BlackRock’s CEO Larry Fink recently<a href="https://www.youtube.com/watch?v=HTveRlW7QPo" target="_blank" rel="noopener nofollow"> voicing</a> that capital markets could be made more efficient by moving onchain.
Treasurys are only one piece of the pie —<a href="https://cointelegraph.com/learn/tokenized-real-world-assets-rwa-in-defi"> stocks, real estate</a> and many other assets can also be tokenized.
Related:<a href="https://cointelegraph.com/news/blackrock-receives-memecoins-nfts-after-depositing-usdc-onchain"> BlackRock receives memecoins, NFTs after depositing $100M USDC onchain</a>
However, investor demand for these tokenized products is low at the moment, <a href="https://x.com/tomwanhh/status/1785242220922065377" target="_blank" rel="noopener nofollow">according</a> to 21.co research strategist Tom Wan, citing “thin liquidity” as one of the primary reasons.
This creates a “chicken and egg problem,” as issuers are struggling to see a clear benefit in tokenizing assets onchain with low demand, Wan said in an April 30 X post.
The good news is that demand for U.S. Treasurys already exist from industry players in the $140 billion stablecoin market.
Therefore, “it will be easier to find end investors to switch over,” when demand picks up, Wan explained.
Tokenized government securities currently account for 1.4% of the total assets tokenized onchain — up from 0.1% at the start of 2023. However, Wan predicts this market dominance will increase to 10% in the future.
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 Source: <a href="https://x.com/Cointelegraph/status/1785363486467297641" target="_blank" rel="noopener nofollow">Cointelegraph Research</a> / RWA.xyz
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Boston Consulting Group estimates blockchain-based tokenization will become a<a href="https://cointelegraph.com/news/this-tokenization-platform-aims-to-bridge-the-gap-between-traditional-assets-and-crypto"> $16 trillion market by 2030.</a>
Magazine: <a href="https://cointelegraph.com/magazine/blockchain-fundraising-airdrops-presales-ico-alternatives/">7 ICO alternatives for blockchain fundraising: Crypto airdrops, IDOs &amp; more</a>

BlackRock's BUIDL becomes the world’s largest tokenized treasury fund

Cointelegraph

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