BlackRock to Issue a Token? $150 Billion Money Market Fund Plans to Utilize DLT in Collaboration with BNY Mellon to Launch Tokenized Shares
Traditional Financial Giant BlackRock Prepares to Move Its $150 Billion Money Market Fund to Blockchain
Traditional financial giant BlackRock is preparing to move its $150 billion money market fund onto the blockchain, further implementing the application of tokenized assets. According to the latest documents submitted to the U.S. Securities and Exchange Commission (SEC), the company plans to issue distributed ledger technology (DLT) shares through BNY Mellon, marking a significant step for traditional asset management into Web3.
BlackRock to Issue DLT Shares Exclusively Through BNY Mellon
In a Form N-1A document submitted to the SEC on Monday (April 29), BlackRock indicated plans to launch digital forms of “DLT shares” for its BlackRock Liquidity Funds Treasury Trust Fund. DLT shares refer to digital shares that use blockchain and other distributed ledger technologies to track ownership.
These DLT shares can only be purchased through BNY Mellon and are exclusively available to institutional investors, with an initial investment threshold of $3 million; however, subsequent investments will have no minimum requirement.
Although the fund itself does not directly invest in crypto assets or utilize blockchain for transaction processing, the document states that BNY Mellon will use blockchain to establish a “mirror ledger” synchronized with existing systems, serving as a digital backup for shareholding records.
$150 Billion Money Market Fund to Become a Testbed for Tokenization
According to information on BlackRock’s official website, as of April 29, 2025, the assets of the BlackRock Liquidity Funds Treasury Trust Fund have reached $150.1 billion, making it one of the largest money market funds globally. Such funds are typically used by institutions for short-term capital parking, making liquidity and security crucial.
This application is still under review, and the final issuance conditions for DLT shares may change based on the SEC’s examination.
CEO Larry Fink: Tokenization Will Transform Investment Practices
BlackRock’s current strategy aligns with earlier public statements made by its CEO, Larry Fink. In the annual letter to shareholders in March 2025, Fink emphasized, “Tokenization will fundamentally change the investment world. In the future, markets will not need to close, transactions can settle in seconds, and the billions of dollars idled due to settlement delays can be reinvested into the economy immediately, creating more growth.”
He further pointed out that tokenization can drive “investment democratization,” such as achieving “fragmented ownership” of shares, digitizing shareholder voting rights, and allowing more people to participate in financial products that previously had higher entry barriers.
Regulation and Verification Remain Major Challenges for Tokenization
Despite Fink’s optimism about the potential of tokenization, he also acknowledged that challenges remain in terms of identity verification and compliance. He believes that only when these issues are overcome will tokenized funds become mainstream like ETFs (exchange-traded funds).
Traditional Finance Embraces Blockchain; BlackRock Is Not Alone
BlackRock is not the only traditional asset management giant embracing blockchain technology. Institutions such as JPMorgan, State Street, and Franklin Templeton have also launched tokenized assets based on blockchain technology or similar experimental products.
British asset management technology firm Calastone recently announced a partnership with Fireblocks to implement its blockchain infrastructure to help asset managers tokenize any fund, signaling that this “asset digitization revolution” is progressing rapidly.
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