The world’s largest asset manager reportedly plans to develop tokenised ETFs and real-world asset funds on blockchain systems.
BlackRock is reportedly considering placing exchange-traded funds (ETFs) onto public blockchains, according to sources with knowledge of the matter. If implemented, it would bring ETFs onto the blockchain, along with those tied to real-world assets (RWAs) such as stocks.
The company has already tested blockchain-based markets with its BlackRock USD Institutional Digital Liquidity Fund (BUIDL). Launched in 2024, the fund currently manages around $2.2 billion and has become the largest tokenised Treasury product in the world.
BlackRock’s new venture into tokenizing ETFs would further expand its digital assets portfolio. It has already launched its iShares Bitcoin ETF (IBIT), a large Bitcoin fund which quickly became the most successful ETF debut in US financial history.
However, executives at the New York-based investment firm believe this latest shift could lead to improved accessibility and efficiency. It would allow for tokenised ETFs to be traded around the clock, rather than only during traditional market hours.
Added to this, settlement could also be completed in matter of minutes instead of days. In any event, the products would still require regulatory approval before reaching investors, with rules likely to remain a major obstacle.
BlackRock tests tokenized fund shares
BlackRock has already tested tokenized trades using JPMorgan’s Kinexys infrastructure, which supports 24/7 trading models. These trials explored how real-time settlement could reshape traditional market practices.
Company CEO Larry Fink has been a long-term supporter of the concept. In his 2025 annual letter to investors, he stated how “every financial asset can be tokenized.” This is consistent with the views he has held for several years. Now it appears BlackRock is pushing that idea deeper into public equity territory.
The company’s most recent exploration highlights mainstream finance’s growing interest in blockchain technology. Asset managers, banks, and fintechs are all seeking ways to streamline settlement and enhance collateral flows.
The firm’s plan also demonstrates an appetite for further integration between traditional finance and decentralised networks. If approved, tokenised ETFs could transform the way global investors trade and manage funds.
Strong regulatory momentum for crypto
There is a clear momentum underway regarding regulation of the wider crypto industry. Last month, the US Securities and Exchange Commission (SEC) unveiled plans to modernise the rules around digital assets and tokenized securities through its “Project Crypto” initiative.
Meanwhile, Nasdaq has also advanced its own tokenization efforts in a filing with the SEC to trade tokenized stocks and ETFs within regulated markets. Through its proposal, Nasdaq plans to allow for the trading of tokenized versions of securities alongside their traditional forms.
Elsewhere, a range of other leading crypto platforms are contributing to this growing industry momentum. Companies such as Kraken, Robinhood, Bybit, Coinbase, and Gemini are also actively rolling out or planning to launch tokenized stocks.
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