BlackRock’s Tokenized Fund as Collateral on Binance

BlackRock's Tokenized Fund as Collateral on Binance
Key Points:
  • BlackRock’s BUIDL fund is now collateral on Binance.
  • Integration bridges traditional finance with digital assets.
  • Increases liquidity and institutional engagement.

BlackRock’s tokenized Treasury fund, BUIDL, is now accepted as collateral on Binance, marking a significant integration between traditional finance and crypto announced on November 2025.

This integration signifies increased institutional adoption of digital assets, potentially boosting capital efficiency and liquidity for traders, and may influence future regulatory and market dynamics.

BlackRock’s tokenized Treasury fund, known as BUIDL, is now accepted as collateral on Binance. This marks a pivotal move in integrating traditional finance with digital assets, leveraging Binance’s extensive market infrastructure. According to CoinDesk, this integration brings together major players in the financial market.

Robbie Mitchnick, Global Head of Digital Assets at BlackRock, stated,

“By enabling BUIDL to operate as collateral across leading digital market infrastructure, we’re helping bring foundational elements of traditional finance into the onchain finance arena.”

Key players include BlackRock, led by Robbie Mitchnick, and Securitize, the issuer of BUIDL. Binance, under Catherine Chen’s leadership, facilitated this integration to meet demand for interest-bearing assets, demonstrating how Binance continues to build the bridge between traditional and digital assets. BNB Chain plays a role in the blockchain setup.

The immediate market impact includes heightened institutional opportunities and greater capital efficiency. BUIDL’s acceptance as collateral increases liquidity and promotes the use of real-world assets within the crypto ecosystem.

Financially, BUIDL is a $2.5 billion fund with a ~4% annual yield. It benefits institutional investors and expands Binance’s collateral options alongside USYC and cUSDO. This integration highlights a turning point in digital finance infrastructure.

There are no specific regulatory updates from the SEC or CFTC regarding this integration. However, positive sentiment prevails among institutional traders and DeFi developers. The move shows industry confidence in tokenized assets.

Potential outcomes include increased demand for tokenized Treasuries in both centralized and decentralized sectors. Historical trends from projects such as Goldman Sachs and Circle’s USDC indicate a growing preference for yield-bearing collateral. This integration is a step forward for institutional engagement.

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