Asset management company BlackRock is launching a tokenized digital asset fund, a new SEC filing on Tuesday shows. In turn, BlackRock seeded the fund by depositing $100 million in USDC stablecoin on the Ethereum Network.

JUST IN: BlackRock launches digital asset fund and deposits $100 million $USDC on the Ethereum network.

The BlackRock USD Institutional Digital Liquidity Fund was incorporated in the British Virgin Islands and will be launched in partnership with Securitize, a tokenization firm. According to wallet data from Etherscan, BlackRock deposited Circles USDC stablecoin into a wallet on the Ethereum Network.

BlackRock is continuing its journey into the digital asset industry following its Spot Bitcoin ETF launch earlier this year. The companys Bitcoin ETF has been one of the best-performing Bitcoin products out of the field of new launches in 2024. Additionally, BlackRock also has a pending application for a spot Ethereum ETHER (ETH) ETF, which the SEC is putting off approval of.

In aJanuary interviewwith CNBC, BlackRock CEO Larry Fink said that BTC and ETH ETFs are just stepping stones towards tokenization, and I really do believe this is where were going to be going. Now, we are seeing the asset manager shift towards tokenization with a major step.

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Furthermore, BlackRocks digital asset fund also represents a major milestone for the tokenization of real-world assets. Tokenization is a growing sector in the intersection of digital assets and traditional finance. It involves placing traditional assets on blockchain rails in pursuit of faster settlements and higher efficiency.

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BlackRock Launches Digital Asset Fund Backed by $100M on Ethereum - Watcher Guru