BlackRock’s BUIDL adds over $5m in a week despite market turbulence

As a researcher with a background in blockchain technology and investment analysis, I find the recent performance of BlackRock’s Ethereum-based BUIDL fund truly intriguing. Amidst the ongoing market turbulence that has seen the broader crypto market lose over $290 billion in July, BUIDL continues to attract new investors, with assets under management (AUM) reaching an impressive $491 million.

Over the past week, the Ethereum-fund based on BUIDL, managed by the prominent asset manager BlackRock, has seen an inflow of approximately $5 million in assets, even amidst the volatile market conditions.

According to a recent revelation from market analytics firm IntoTheBlock (ITB), there has been significant investor attraction towards this particular fund.

As an analyst, I’ve observed that while the crypto market is facing challenges, BlackRock’s Ethereum-based $BUIDL fund has been successful in drawing in new investors. With a minimum investment of $5 million, the fund now manages assets valued at $491 million.

— IntoTheBlock (@intotheblock) July 8, 2024

As a crypto investor, I’m excited to share that in March, BlackRock introduced the BlackRock USD Institutional Digital Liquidity Fund (BUIDL) on Ethereum. This is a groundbreaking move by BlackRock as it represents their first tokenized fund. With the help of Securitize, qualified investors can now earn yields in US dollars through subscription to this innovative investment vehicle.

Two months following the fund’s debut, Securitize successfully raised $47 million in investments from various backers, including BlackRock.

The BUIDL investment fund puts money into U.S. Treasury bills, cash, and repurchase agreements. This allows investors to earn returns while keeping their assets as digital tokens on the blockchain. Though connected to the crypto sector, the fund has persisted in growing during the recent market instability.

Based on ITB’s findings, BUIDL currently manages $491 million worth of assets, representing a steady expansion trend. This achievement stands out against the backdrop of a global crypto market downturn in July, which saw a loss of approximately $290 billion and Bitcoin (BTC) dipping below $57,000.

As a researcher examining on-chain data, I’ve discovered that BUIDL’s assets under management (AUM) amounted to $486.46 million on July 2. Surprisingly, this figure has subsequently risen to $491.83 million, according to the most recent figures available. This represents a growth of approximately $5.37 million within the past week, which is quite noteworthy given the prevailing bearish market conditions.

As a crypto investor, I’m thrilled to see BUIDL maintaining its lead as the largest blockchain-based money market fund. In fact, I was quite impressed when it surpassed Franklin Templeton’s BENJI fund in May, reaching an impressive asset under management (AUM) of $375 million.

1/ Blackrock’s BUIDL has surpassed Franklin Templeton’s BENJI (FOBXX) in AUM and became the largest On-Chain Money Market Fund

– BUIDL has grown 36.5% MoM from $274M to $375M
– BENJI only grew 2.1% MoM from $360M to $368M

— Tom Wan (@tomwanhh) April 30, 2024

During this time frame, BUIDL has amassed a total of $116.83 million from incoming investments. In contrast, BENJI has attracted only $33.97 million in capital during the same period.

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2024-07-08 12:18