Key insights:
- BlackRock files SEC proposal for tokenized share classes in $7B treasury fund.
- Ethereum hosts ERC-20 share records linked to institutional money market assets.
- BNY Mellon maintains an on-chain share register for regulated custody support.
- BounceBit reports growing institutional adoption of on-chain treasury products.
BlackRock filed a new SEC document tied to Ethereum-based tokenized fund shares. The filing focuses on its $7 billion Select Treasury Based Liquidity Fund.
The asset manager plans to issue blockchain-based share classes using Ethereum’s ERC-20 token standard. The ownership records will remain on-chain, while BNY Mellon will manage the official register.
The move connects traditional finance products with blockchain infrastructure. It also expands BlackRock’s growing presence in tokenized finance products built on Ethereum.
BlackRock Adds Ethereum-based Share Classes for Treasury Fund
BlackRock’s filing introduces digital share classes linked to its treasury liquidity fund. The fund mainly invests in short-term United States Treasury assets. According to the filing, Ethereum will host the tokenized ownership records. The structure uses ERC-20 tokens, which remain common across decentralized finance platforms.
BNY Mellon will maintain the official shareholder records connected to the blockchain tokens. The custodian already works with large institutional investment products and financial services.The filing follows BlackRock’s earlier blockchain products, including the BUIDL fund. That fund also used Ethereum infrastructure for tokenized asset operations.
Ethereum supporters viewed the filing as another step toward institutional blockchain adoption. Several crypto firms also discussed new uses for tokenized treasury products. Crypto platform BounceBit referenced the filing while discussing its work with BUIDL. The company said institutional on-chain funds may support collateral and yield strategies.
BounceBit stated, “As more institutional funds move onchain, we will keep exploring how they can power yield, collateral, and capital efficiency.”
Tokenized Treasury Products Continue Growing on Ethereum
Meanwhile, Tokenized treasury products gain attention as traditional firms enter blockchain markets. These products combine government-backed assets with blockchain settlement systems. Ethereum continues attracting large financial firms building tokenized products. Companies often use Ethereum because of its smart contract network and active decentralized finance ecosystem.
The filing also points toward wider use of blockchain-based settlement systems. Tokenized shares may allow continuous transfers outside traditional market hours. Stablecoin users and decentralized finance participants could access these tokenized assets through blockchain networks.
BlackRock has increased its blockchain activity during the past year. Its digital asset products expanded across tokenized funds and spot cryptocurrency exchange-traded funds. The new filing arrives as institutional firms continue testing blockchain-based financial products.
Asset managers and custodians now explore tokenized records, fund transfers, and digital asset settlement systems. Ethereum remains central to many of these projects because of its established infrastructure. Financial firms continue using the network for tokenized asset development and blockchain-based fund operations.
