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Yesterday, Securitize announced that the tokens of the BUIDL fund by BlackRock were also launched on the Solana blockchain, but the price of the crypto SOL does not seem to have reacted to the news.
The BUIDL fund by BlackRock also lands on Solana: no movement of the crypto SOL
BUIDL is a tokenized fund by BlackRock. It is the first RWA token launched by the giant of global finance.
Securitize is the company to which BlackRock has entrusted the tokenization of this fund.
BUIDL stands for BlackRock USD Institutional Digital Liquidity, and it is a fund dedicated to large institutional investors that “aims to maximize income on the investment, with a view to capital preservation”.
To achieve this, the fund invests in a wide range of fixed income securities of high credit quality (such as bonds) and SMM (short-term debt securities).
This is in all respects a traditional fund that operates in the traditional financial markets, but whose shares have been tokenized thanks to Securitize.
In this way, the security token BUIDL was created on the blockchain of Ethereum, now also available on that of Solana.
Being a security token, and not a commodity, it cannot be traded on classic exchange crypto, but it can be legally traded only on authorized exchanges for the exchange of security token.
It is necessary to pay attention to this important detail, because on crypto exchanges there are other tokens with the same name, which however have nothing to do with the tokenized fund BlackRock USD Institutional Digital Liquidity.
Furthermore, the fund requires a minimum investment of one million dollars, so it is not accessible to small retail investors.
Why BlackRock has chosen the Solana ecosystem
The token BUIDL was launched last year on the Ethereum blockchain.
Initially, Ethereum was chosen because it is by far the most widespread blockchain in the world, even more used than that of Bitcoin, and especially because it is secure and now widely recognized as the main blockchain in the world for DeFi.
However, Ethereum tends to have not particularly low commission costs, and this especially harms those who make many transactions.
The Solana blockchain, which is the second most used in the world (on some days it even surpasses Ethereum), involves lower fees, so it is preferable for those who conduct a large number of on-chain transactions.
The official press release from Securitize states that the Solana network is known for its speed, productivity, and affordability, and notes that the BUIDL token is also available on Aptos, Arbitrum, Avalanche, Optimism, and Polygon, with cross-chain interoperability enabled by Wormhole.
The co-founder and CEO of Securitize, Carlos Domingo, stated:
“In the year since the launch of BUIDL, we have seen significant growth in the demand for real-world tokenized assets, reinforcing the value of bringing institutional-grade products on-chain. As the market for RWAs and tokenized treasuries gains momentum, the expansion of BUIDL to Solana, a blockchain known for its speed, scalability, and cost efficiency, is a natural next step”.
The President of the Solana Foundation, Lily Liu, added:
“Solana is uniquely positioned to lead the next wave of real-world tokenized asset adoption thanks to the network’s speed, low costs, and active developer ecosystem. Blackrock’s BUIDL expansion on Solana provides users with a network that balances innovation with the operational efficiency required by the sector”.
The reaction of the crypto SOL price
SOL is the native crypto of the Solana ecosystem.
Yesterday, after the release of this news, its price only managed to move from just under 140$ to almost 147$, and then repositioned around 144$.
It should be noted, however, that the rebound of the last few days had actually started earlier, particularly the day before yesterday, when from 130$ it managed to climb back to 144$, before falling back below 140$.
In other words, the impact of the BUIDL news on the price of SOL was essentially null.
The problem is that since the end of January the price trend of SOL has entered a bear phase that for now seems to have concluded shortly before mid-March, but has not yet recorded a significant bull rebound.
In fact, the price in the last two months has dropped from more than 250$ to less than 120$, only to recover just above 140$.
Furthermore, the bulk of this recent bounce occurred right in the middle of the month, when from 114$ on March 11 it rose in just four days to more than 135$.
Note that the current price is below $157 from which the last bull run started after Trump’s electoral victory.
English (US) ·