BlackRock’s $2.5 Billion Tokenized Treasury Fund Joins Binance’s Collateral System

In a groundbreaking development for both traditional finance and cryptocurrency, BlackRock has made significant strides by integrating its $2.5 billion tokenized Treasury fund into Binance’s collateral system. This move brings a Wall Street-grade financial product directly into the hands of everyday crypto traders.

The Launch of BUIDL

On November 15, BlackRock officially announced that its USD Institutional Digital Liquidity Fund (nicknamed BUIDL) is now approved as off-exchange collateral for institutional clients. This fund, which launched in March 2024 as BlackRock’s first tokenized venture utilizing a public blockchain, has quickly gained traction within the digital asset space.

As a notable feature, a new share class of BUIDL recently went live on the BNB Chain, expanding the opportunities for larger traders. This allows them to leverage yield-bearing US Treasury exposure while conducting transactions on Binance, one of the busiest DeFi networks.

Binance’s New Collateral Offering

Binance has seamlessly incorporated BUIDL into its off-exchange collateral system. This system operates through triparty banking arrangements and collaborates with its custody partner, Ceffu. According to Catherine Chen, who heads Binance’s VIP and Institutional division, the demand for interest-bearing stable assets as collateral has been steadily increasing among institutional clients.

Responding to Client Needs

Chen noted that clients are eager for more options in the collateral space. By allowing BUIDL to function within its infrastructure, Binance is providing a solution that aligns with the specific needs of institutional players who require stable, yield-bearing assets.

BUIDL’s Market Position

BUIDL is not just another financial product; it serves as an essential liquidity fund that focuses on US cash, short-term Treasuries, and repo transactions. The fund aims to maintain a stable $1 value while offering daily dividends to qualified investors. With over $2.5 billion in assets as of mid-November 2025, BUIDL has emerged as the largest tokenized US Treasury product on public blockchains.

Earlier this year, it outpaced competitors like Hashnote’s USYC and Franklin Templeton’s BENJI, showcasing its rapid growth and the rising interest in tokenized Treasuries, which now collectively value around $8.6–$8.7 billion, based on recent data.

Multi-Chain Strategy and Future Expansion

One of the more exciting aspects of BUIDL is its multi-chain strategy. The fund already operates on several blockchains, including Ethereum, Arbitrum, Polygon, Optimism, Avalanche, Solana, and Aptos. With the latest addition of the BNB Chain share class, BUIDL is now accessible across nine different networks, emphasizing the institution’s commitment to a multi-chain vision.

According to Securitize, the company that issued BUIDL, approximately two-thirds of the fund’s assets now reside outside of Ethereum, indicating a move toward broader blockchain integration.

Significance for Institutional Trading

The inclusion of BUIDL as collateral means that institutional clients can now retain their tokens with a regulated bank or Ceffu while still gaining trading credits on Binance—eliminating the need to keep assets on the exchange. This setup not only enhances security but also increases liquidity in trading operations.

Carlos Domingo, the co-founder and CEO of Securitize, remarked on the advantages that BUIDL’s expanded reach and utility provide, reaffirming the practical role that regulated real-world assets can play in daily trading operations.

Market Impact and Future Outlook

As the broader cryptocurrency market experiences fluctuations, the move to integrate BUIDL into Binance’s collateral framework has refocused attention on BNB and its ecosystem. The institutional demand for such innovative financial products highlights an evolving landscape where traditional finance meets the decentralized world of cryptocurrencies.

With the collaboration between BlackRock, Binance, and Securitize, the boundaries of how assets are traded and utilized are continually being redrawn. As interest in tokenized Treasuries grows, the potential for similar innovative products is vast, promising to bridge the gap between institutional finance and the rapidly expanding world of decentralized finance.