BlackRock’s BUIDL Fund Expands to BNB Chain, Potentially Advancing RWA Tokenization

• BlackRock’s $2.9 billion tokenized U.S. Treasury fund BUIDL launches on BNB Chain, powered by Securitize and Wormhole for cross-chain compatibility.

• Binance integrates BUIDL as off-exchange collateral, allowing traders to secure positions without liquidating yield-bearing assets.

• This expansion highlights the growing real-world asset (RWA) tokenization sector, with BUIDL managing over $2.9 billion and delivering approximately 3.7% yields from U.S. Treasuries as of late 2025.

Discover how BlackRock’s BUIDL on BNB Chain bridges traditional finance and crypto. Earn yields while trading—explore RWA tokenization’s impact on institutional investing today!

What is BlackRock’s BUIDL Fund and How Does It Work on BNB Chain?

BlackRock’s BUIDL is a tokenized USD Institutional Digital Liquidity Fund that provides qualified investors with exposure to short-term U.S. Treasury securities, delivering a stable yield of around 3.7% while maintaining liquidity through blockchain technology. By expanding to the BNB Chain, BUIDL leverages the network’s low-cost transactions and high scalability, enabling seamless integration into DeFi ecosystems and institutional trading platforms like Binance. This move, facilitated by Securitize and Wormhole, allows tokens to move across chains without friction, enhancing accessibility for global investors.

How Does Binance’s Integration of BUIDL Enhance Institutional Trading?

Binance has incorporated BUIDL as eligible collateral for its off-exchange settlement services, such as Binance Banking Triparty and MirrorRSV, which cater to institutional clients seeking deep liquidity with reduced counterparty risk. Traders can deposit BUIDL tokens held by third-party custodians to secure trades, earning ongoing yields from the underlying Treasuries without needing to sell the assets. According to data from BlackRock, the fund’s assets under management reached $2.9 billion by November 2025, underscoring its appeal in a volatile crypto market. This structure not only offsets trading costs through yield generation but also complies with regulatory standards, as Securitize ensures tokenized assets meet institutional-grade compliance. Experts note that such integrations could increase RWA adoption by 20-30% in the coming year, based on trends observed in similar deployments on Solana and Polygon.

BlackRock’s BUIDL, offering a 4-5% Treasury yield, expands to BNB Chain, deepening the integration of RWA into the crypto market.

Key Highlights

• BlackRock’s tokenized $2.9B U.S. Treasury fund, BUIDL, is now live on the BNB Chain.
• Binance has integrated BUIDL as off-exchange collateral, allowing traders to use the yield-bearing asset as security for trading.
• The collaboration advances the Real-World Asset (RWA) tokenization sector, bridging traditional finance stability with crypto market liquidity and efficiency.

BlackRock, the world’s largest asset manager with over $10 trillion in assets under management, has taken a significant step in bridging traditional finance and blockchain by expanding its tokenized USD Institutional Digital Liquidity Fund, known as BUIDL, to the BNB Chain. Launched initially on Ethereum, BUIDL holds short-dated U.S. Treasury bills and repurchase agreements, providing investors with a regulated, on-chain vehicle for dollar-denominated yields. The fund’s expansion to BNB Chain, announced in November 2025, builds on its multi-chain strategy, which already includes deployments on Ethereum, Solana, Polygon, Arbitrum, and Avalanche. This interoperability is powered by Securitize, BlackRock’s tokenization partner, and Wormhole, a leading cross-chain messaging protocol that ensures secure token transfers across networks.

The integration with BNB Chain opens BUIDL to a broader ecosystem characterized by its high throughput—handling over 100 transactions per second—and transaction fees often below $0.01, making it ideal for institutional-scale operations. As of the latest reports from BlackRock, BUIDL’s total value locked stands at $2.9 billion, reflecting strong demand from qualified purchasers who value the fund’s compliance with SEC regulations under Rule 506(c) of Regulation D. By tokenizing these assets, BlackRock not only democratizes access to Treasury yields but also introduces them into programmable financial environments, where smart contracts can automate yield distribution and collateral management.

Binance adds BUIDL as an offering

Binance’s decision to accept BUIDL as collateral marks a pivotal advancement for institutional crypto trading. Through services like Binance Banking Triparty, which involves a neutral third-party custodian, institutions can pledge BUIDL tokens to access Binance’s vast liquidity pools without exposing themselves to direct exchange risks. This setup is particularly beneficial in high-volume trading scenarios, where maintaining yield accrual is crucial. For instance, if a trader uses $10 million in BUIDL as collateral, they continue to earn approximately 3.7% annualized yield—equivalent to about $370,000 annually—while executing trades that might otherwise incur opportunity costs.

The expansion aligns with Binance’s broader push into regulated digital assets, following its acquisition of institutional custody solutions and partnerships with traditional financial entities. Securitize’s role ensures that all BUIDL tokens are fully backed by underlying Treasuries, with daily attestations from auditors like Deloitte providing transparency. Wormhole’s technology further mitigates risks associated with cross-chain bridges, having secured over $40 billion in transferred value across protocols as per its 2025 security audit reports.

Carlos Domingo, Co-founder and CEO of Securitize, emphasized the strategic importance of this development: “BUIDL’s expansion to BNB Chain and its use as collateral on Binance further extends its reach and utility.” He added, “We’re continuing to bring regulated real-world assets onchain while unlocking new forms of utility that were previously out of reach.” Domingo’s insights, drawn from Securitize’s experience tokenizing over $1 billion in assets, highlight how such integrations foster innovation in capital markets.

BNB Chain’s ecosystem, home to thousands of decentralized applications and boasting daily active users exceeding 1 million, positions BUIDL for enhanced DeFi composability. Developers can now incorporate BUIDL into lending protocols or automated market makers, potentially generating additional revenue streams for holders. BlackRock’s multi-chain approach, as evidenced by its deployments on five major networks by late 2025, demonstrates a commitment to avoiding siloed blockchains and promoting a unified Web3 infrastructure.

The collaboration fosters RWA tokenization

The launch of BUIDL on BNB Chain is emblematic of the surging momentum in real-world asset (RWA) tokenization, a sector projected by Boston Consulting Group to reach $16 trillion by 2030. Tokenized RWAs like BUIDL represent ownership in traditional assets—such as bonds, real estate, or commodities—digitized on blockchains for fractional ownership, 24/7 trading, and automated compliance. In BUIDL’s case, the fund’s structure allows for instantaneous settlement and yield accrual, contrasting with the T+1 or T+2 cycles in legacy systems.

For institutional traders, this translates to more efficient capital deployment: the yield from BUIDL can effectively subsidize trading fees, creating a near-zero net cost for high-frequency operations. The collaboration among BlackRock, Securitize, Wormhole, and Binance exemplifies a maturing ecosystem where traditional finance’s stability meets blockchain’s efficiency. BlackRock’s entry validates RWAs as a cornerstone of hybrid finance, with similar initiatives from firms like Franklin Templeton and JPMorgan Chase underscoring industry-wide adoption.

This development also addresses key pain points in crypto markets, such as liquidity fragmentation and yield erosion during volatility. By enabling BUIDL’s use as collateral, institutions can hedge positions or speculate on derivatives while preserving dollar exposure, a feature that aligns with risk management practices outlined in Basel III frameworks. As RWA tokenization evolves, expect further integrations with central bank digital currencies and stablecoins, further blurring lines between fiat and digital economies.

Also Read: BlackRock and Strategy Keep Bitcoin Bears at Bay

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Frequently Asked Questions

What is the yield offered by BlackRock’s BUIDL fund on BNB Chain?

The BUIDL fund targets a competitive yield of approximately 3.7% from short-term U.S. Treasury securities, with potential variations up to 4-5% based on prevailing interest rates. This yield accrues daily and is distributed to token holders, providing a stable return in a blockchain wrapper compliant with U.S. securities laws.

How can institutional traders use BUIDL as collateral on Binance?

Institutional traders can deposit BUIDL tokens via third-party custodians into Binance’s off-exchange services like Banking Triparty, using the asset’s value to secure trades across spot, futures, and options markets. This allows continued yield earning without liquidation, enhancing capital efficiency in real-time trading environments.

Key Takeaways

• BUIDL’s Multi-Chain Expansion: Deployment on BNB Chain via Securitize and Wormhole enables seamless interoperability, boosting accessibility for DeFi and institutional users across ecosystems.
• Yield-Bearing Collateral: Binance’s integration lets traders earn 3.7% yields on U.S. Treasuries while using BUIDL for trading security, reducing costs and counterparty risks.
• RWA Tokenization Growth: This launch signals broader adoption of tokenized real-world assets, potentially unlocking trillions in traditional finance for blockchain innovation.

Conclusion

BlackRock’s BUIDL fund expansion to BNB Chain, coupled with Binance’s collateral integration, represents a landmark in RWA tokenization and institutional crypto adoption. By combining the reliability of U.S. Treasuries with blockchain’s speed, this initiative offers yield stability in volatile markets and paves the way for efficient capital flows. As the sector matures, investors should monitor upcoming multi-chain developments to capitalize on emerging opportunities in hybrid finance.