Circle facilitates USDC swap for BlackRock’s tokenized fund

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With a circle, you can easily swap BlackRock’s tokenized fund shares for their USDC stablecoin.

Based on Circle’s announcement, BlackRock USD Institutional Digital Liquidity Fund (BUIDL) investors will have the ability to quickly convert their shares into Circle’s USDC stablecoin through a new smart contract feature. This smart contract has been developed to provide BUIDL investors with a “rapid” option for offloading their investments, allowing them to do so at any time of day.

Today, Circle unveiled updates allowing Blackrock’s BUIDL clients to employ USD Coin for transactions, ensuring a smooth connection between their groundbreaking tokenized fund and the blockchain.

— Jeremy Allaire (@jerallaire) April 11, 2024

In March, BlackRock launched its first investment product based on digital assets, called the BlackRock Digital Liquidity Fund (BUIDL). This fund enables investors to earn returns denominated in US dollars. The shares of this fund are issued as tokens on the Ethereum blockchain, using the ERC-20 token standard, which supports the BUIDL token.

With the BUIDL token, you can join this investment fund, which mainly puts money into short-term American government securities such as T-bills, marking a shift from conventional financial assets to digital forms.

The iShares Bitcoin Trust from BlackRock is presently one of the biggest spot Bitcoin ETFs, managing over $18.5 billion in assets. This trust also boasts the largest total inflow of funds, amounting to $14.95 billion. With Circle’s recent partnership, BlackRock’s investment vehicle aims to expand Bitcoin’s functionality and attractiveness, known as “BUILDS.”

Over the past few weeks, Circle has been actively working on expanding its presence in the blockchain world. It has integrated its USDC stablecoin directly into zkSync, improving transactions and increasing capacity. Furthermore, Circle has teamed up with Solana to implement its cross-chain transfer technology within the Solana blockchain system.

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2024-04-11 21:43