Crypto Industry Converges with Traditional Finance
The cryptocurrency industry's business model is increasingly converging with traditional finance, as seen in recent developments. BlackRock launched tokenized money market funds for stablecoin issuers to help them meet reserve requirements under the US GENIUS Act.
The asset manager introduced two products: one that tokenizes shares of its existing Treasury liquidity strategy on Ethereum and another institutional money market vehicle built for digital asset markets.
BlackRock's move deepens its presence in the tokenized Treasury market, where it already operates BUIDL, the industry's largest tokenized Treasury fund.
Tether generated $1.5 billion in profit from its US Treasury holdings in Q2, driven by interest earned on these assets and repurchase agreements.