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Key Takeaways
- BlackRock launched two tokenized money market funds built to qualify as eligible stablecoin reserve assets under the GENIUS Act.
- The move builds on BUIDL, BlackRock’s first tokenized fund with Securitize, which has grown to roughly $2.5 billion in assets.
- BlackRock already manages $60 billion in reserves for Circle, about a quarter of the total stablecoin market.
BlackRock unveiled two new tokenized money market products on Monday, expanding the asset manager’s push into blockchain-based cash management. Both funds are designed to qualify as eligible reserve assets for U.S. payment stablecoin issuers under the GENIUS Act.
BlackRock filed for the products with the U.S. Securities and Exchange Commission in May. The firm confirmed the launch in a press release Monday.
Two New Tokenized Fund Structures
The first product, the BlackRock Select Treasury Based Liquidity Fund, offers on-chain shares on Ethereum for an existing BlackRock money market fund. The second, the BlackRock Daily Reinvestment Stablecoin Reserve Vehicle, is a new fund with daily dividend reinvestment and access across multiple blockchains.
Securitize serves as the Daily Reinvestment Stablecoin Reserve Vehicle’s transfer agent and tokenization provider, according to BlackRock. Both funds are intended to give stablecoin issuers a compliant way to hold reserves on-chain under the GENIUS Act framework.
Tokenization refers to representing traditional financial assets, such as fund shares, bonds or equities, as digital tokens on a blockchain. Supporters of the approach say it can speed settlement, enable round-the-clock trading and improve transparency into holdings.
Building on BUIDL’s Track Record
BlackRock launched its first tokenized money market fund, BUIDL, with Securitize in 2024. That fund has grown to roughly $2.5 billion in assets and is increasingly used as collateral for borrowing and leveraged trading in crypto markets.
The two new funds extend that model to a broader set of stablecoin-focused use cases, building on demand BlackRock has said it is seeing from issuers seeking compliant reserve assets.
BlackRock’s Stablecoin Reserve Business
BlackRock Chief Financial Officer Martin Small addressed the firm’s stablecoin ambitions during its second-quarter 2026 earnings call. He said BlackRock manages $60 billion in reserves for Circle, or roughly a quarter of the stablecoin market’s total $300 billion in circulation.
“We want to be the reserve manager of choice,” Small said on the call. Jon Steel, global head of product and platform for BlackRock’s Cash Management business, said in the press release that the new funds give clients more flexibility in how they access money market investments. He said this comes as demand grows for reserve assets tied to stablecoins.
U.S. money market funds hold more than $8.4 trillion in assets, based on industry-wide figures cited by BlackRock. The firm’s Cash Management Group separately oversees nearly $1.073 trillion in cash strategies for corporations, banks, foundations, insurance companies and public funds. Those figures represent BlackRock’s existing conventional cash management footprint, separate from the new tokenized funds announced Monday.
Part of BlackRock’s Tokenization Strategy
BlackRock Chief Executive Larry Fink has repeatedly promoted tokenization as a way to modernize financial markets. The tokenized real-world asset market has grown more than 200% over the past year to over $30 billion, according to data from rwa.xyz.
Citi has projected tokenized securities could reach $5.5 trillion by 2030, though that figure represents a forward-looking estimate rather than a confirmed market size. BlackRock’s move comes as more asset managers seek a role in stablecoin reserve management, an area regulators have prioritized since the GENIUS Act established a federal framework for permitted payment stablecoin issuers.
Why Reserve Eligibility Matters
The GENIUS Act, enacted this year, requires permitted payment stablecoin issuers to back their tokens with high-quality liquid reserves, including cash, short-term Treasuries and similar instruments. Tokenized money market funds that meet those criteria give issuers an additional on-chain option alongside traditional custody arrangements.
Securitize, which BlackRock has used as its tokenization partner since BUIDL’s 2024 launch, is a publicly traded company that provides transfer agent and tokenization infrastructure for multiple asset managers entering the space.
