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BlackRock, the world's largest asset manager, is intensifying its efforts in the tokenization of traditional financial products. Recently, the firm has converted various offerings, including money market funds, Treasury vehicles, and model portfolios, into digital tokens. This initiative aims to enhance the efficiency and transparency of financial transactions.
On September 24, 2026, BlackRock, in collaboration with Ondo Finance, launched seven tokenized model portfolios, marking the first instance of an external firm tokenizing BlackRock's portfolios. These portfolios encompass a range of strategies, such as high-income and diversified growth, and each is represented as a digital token that holds a basket of exchange-traded funds (ETFs).
In August 2026, BlackRock also introduced BSTBL, a tokenized share class of a Treasury liquidity fund valued at approximately $7 billion, and BRSRV, a vehicle for holding stablecoin reserves. Additionally, the firm tokenized European money market funds totaling $311 billion using JPMorgan's Kinexys platform on the Ethereum blockchain. BlackRock's tokenization efforts are facilitated through its partnership with Securitize, a tokenization platform.
The move towards tokenization is seen as a way to modernize financial infrastructure, with BlackRock's CEO Larry Fink highlighting the potential for lower fees and faster settlement times. The firm aims to generate $500 million in annual revenue from its digital asset initiatives by 2030, positioning tokenization as a significant business line rather than merely a marketing strategy.
Source: KLEA News