Blackrock Brings 2 Tokenized Money Market Funds to Stablecoin Issuers

Blackrock Targets Stablecoin Reserves With 2 Onchain Funds

Blackrock is pushing tokenization deeper into the financial system’s cash layer with two money market products designed to operate across traditional and digital markets.

The asset manager launched Onchain Shares of the Blackrock Select Treasury Based Liquidity Fund (BSTBL), alongside the Blackrock Daily Reinvestment Stablecoin Reserve Vehicle (BRSRV). Both products seek to preserve liquidity and principal while generating income from short-term assets.

The launch targets a growing intersection between regulated money market funds and blockchain-based finance. U.S. money market fund assets have exceeded $8.4 trillion as investors prioritize liquidity, capital preservation and yield, according to Blackrock.

“Cash remains a foundational building block for investors, corporations, and financial institutions. These funds provide clients with additional choice in how they access and use money market fund investment solutions across traditional and digital markets,” said Jon Steel, Blackrock’s global head of cash-management product and platform.

Two Products Take Different Routes Onchain

BSTBL adds a tokenized share class to an existing Blackrock money market fund. Its Onchain Shares are issued on Ethereum and can move between approved investor wallets, subject to applicable laws.

BNY acts as the transfer agent and tokenization provider. The bank’s infrastructure is designed to maintain legally recognized fund records on public blockchains while connecting them with traditional financial systems.

BRSRV, by contrast, is a newly created fund aimed at digitally native institutions. It offers daily dividend reinvestment and access across multiple blockchain networks. Securitize serves as its transfer agent and tokenization provider.

Blackrock said BRSRV could support several digital asset activities, including the management of reserves backing payment stablecoins.

GENIUS Act Creates a New Reserve Market

Both funds invest in cash, short-term U.S. Treasury securities, and overnight repurchase agreements backed by Treasuries. Blackrock intends for its holdings to qualify as eligible reserve assets for permitted stablecoin issuers under the GENIUS Act.

That positioning could give stablecoin companies a regulated way to manage reserves while retaining access to blockchain infrastructure. However, Blackrock notes that parts of the legislation remain open to regulatory interpretation.

The firm’s Cash Management Group oversees nearly $1.073 trillion for corporations, banks, insurers, foundations and public institutions. The new funds show how tokenization is moving beyond experimental products. Blackrock is now applying it to cash management, fund transfers and the reserve infrastructure that supports digital dollars.