BlackRock Enters Stablecoin Reserve Market with Two New Tokenized Funds

BlackRock has launched two tokenized money market funds, expanding its presence in blockchain-based cash products. The company introduced the BlackRock Select Treasury Based Liquidity Fund (BSTBL) with a tokenized share class on Ethereum, and the BlackRock Daily Reinvestment Stablecoin Reserve Vehicle (BRSRV), which aims to qualify as eligible reserve assets for US stablecoin issuers under the GENIUS Act.

The move comes as demand grows for high-quality reserve assets to support stablecoins and other tokenized financial products. Jon Steel, Global Head of Product and Platform for BlackRock's Cash Management business, stated that these funds provide clients with additional choice in how they access and use money market fund investment solutions across traditional and digital markets.

The launch follows the success of BlackRock's BUIDL fund, its first tokenized money market offering, which has grown to around $2.5 billion in assets since its launch in March 2024. However, the passage of the CLARITY Act remains uncertain, with prediction markets giving it only about a 30% chance of passing this year.