BlackRock Enters Tokenized Finance, Tether Surpasses $1.5 Billion Profit

BlackRock's latest move into blockchain-based financial infrastructure signals that the digital asset industry is increasingly converging with traditional finance. The asset manager has introduced two tokenized money market products designed to help stablecoin issuers meet reserve requirements under the US GENIUS Act.

The first fund tokenizes shares of BlackRock's existing Treasury liquidity strategy on Ethereum, allowing approved investors to transfer ownership onchain while the underlying assets remain invested in cash and short-term US government securities. The second is a new institutional money market vehicle built for digital asset markets that supports multiple blockchains and automatically reinvests income.

Tether also generated a $1.5 billion net operating profit in the second quarter, driven primarily by interest earned on its US Treasury holdings and repurchase agreements. Its reserve buffer stands at $4.11 billion as of June 30, with assets exceeding liabilities by that amount.