Injective launches tokenized index tracking BlackRock’s BUIDL fund

Injective has introduced a new tokenized index for BlackRock’s BUIDL Fund, enabling users to track the fund’s supply.

According to a statement from Injective (INJ), this index is the first perpetual market of its kind. It will allow users to gain access to the BUIDL Fund in a way that was previously unavailable.

The BUIDL Fund, also known as the BlackRock USD Institutional Digital Liquidity Fund, is BlackRock’s first tokenized offering on a public blockchain. It provides institutional investors with exposure to U.S. treasuries and other assets. 

The BUIDL fund allocates investments into U.S. Treasury bills, cash, and repurchase agreements, allowing investors to generate yield while maintaining their holdings as tokens on the blockchain.

Despite a correlation with the crypto industry, the fund has maintained a positive trajectory amid the ongoing market turmoil. According to Injective, the fund has accumulated over $500 million in assets under management, making it the largest tokenized fund to date.

Previously, the BUIDL Fund required a minimum investment of $5 million. With the launch of the BUIDL Index, users can now access the fund with as little as $1.

Making tokenized assets more accessible

The BUIDL Index will be available exclusively on the Injective blockchain through various decentralized applications. It will enable traders to access tokenized assets with leverage and track the fund’s supply rather than just its price.

Traders can take long or short positions based on market trends. Price changes are tied to the fund’s mark price and adjusted hourly to reduce volatility. The market is based on the fund’s mark price, which fluctuates intraday based on supply changes, allowing users to take these positions.

Stork, a decentralized price feed provider, helped with the collaboration and was part of Injective’s recent Altaris Mainnet upgrade.