Bloomberg reports that BlackRock, a well-known financial giant, is in talks with cryptocurrency exchanges such as Binance, OKX, and Deribit to promote the use of its BUIDL token as collateral for derivative trading. BUIDL is a real-world asset (RWA) fund supported by BlackRock, with assets under management of approximately $550 million as of October 15th. The fund directly invests in US government bonds and repurchase agreements, generating passive income for token holders on the blockchain. Similar to stablecoins, the BUIDL token aims to be pegged to the US dollar. On the other hand, Bloomberg also points out in its report that “FalconX and Hidden Road, the two largest cryptocurrency prime brokers, have already allowed their hedge fund clients to use BUIDL as collateral.” Additionally, “custody firm Komainu also stated on Thursday that eligible clients for investing in BUIDL will be able to use the token as collateral for trading through Hidden Road.” The BUIDL token is issued on the Ethereum network by Securitize, an asset tokenization company supported by BlackRock. Last month, Ethena announced the upcoming launch of a new stablecoin called UStb, which will be backed by BUIDL.
