BlackRock USD Institutional Digital Fund, known as BUIDL, is the firm's first tokenized money market fund, enabling trading of traditional financial products as cryptographic tokens on blockchains.This fund combines traditional money market features with the efficiency of blockchain technology, currently operating on seven blockchains including Solana and Ethereum. BUIDL has seen significant growth in assets under management and signals increased institutional adoption of cryptocurrencies, legitimizing the space and attracting capital inflows from traditional finance investors.BUIDL allows investors to buy and sell fund tokens that are pegged to the dollar, offering yields and daily dividends through a secure tokenized system. It aims to enhance speed, liquidity, and transparency compared to traditional finance, which often has operational limitations. However, risks remain, such as liquidity issues, technological vulnerabilities, and potential market manipulation. BUIDL's introduction represents a critical step in merging TradFi with blockchain, paving the way for broader institutional participation in the crypto ecosystem.

Source 🔗