Fidelity to Launch Tokenized Fund to Rival BlackRock’s $BUIDL

• Fidelity challenges BlackRock with tokenized Treasury fund
• Treasury bills to back Fidelity’s blockchain-based fund
• Tokenization of RWAs gains momentum in asset management

Fidelity, managing $5.8 trillion in assets, is entering the Blockchain space with a tokenized fund backed by US Treasury bills. This move places Fidelity in direct competition with BlackRock’s $BUIDL fund, marking a significant step toward the tokenization of real-world assets (RWAs).

By leveraging blockchain technology, Fidelity aims to offer investors a secure, transparent, and efficient way to access yield-bearing assets. This development aligns with a broader trend of institutional adoption of tokenized financial products, as firms seek innovative ways to deliver value and improve asset liquidity.

Taking on BlackRock’s $BUIDL Fund

Fidelity’s tokenized fund is positioned as a direct rival to BlackRock’s $BUIDL, which also offers exposure to US Treasury bills via blockchain. BlackRock, with $11.5 trillion in AUM, has been a pioneer in bringing traditional assets into the tokenized world. Fidelity’s move signals increasing competition among major asset managers in this evolving space.

Both funds aim to provide safer investment options through tokenization, targeting investors who prefer the stability of government securities while benefiting from blockchain’s efficiency and accessibility.

Tokenization: A Growing Trend in Finance

The launch of Fidelity’s tokenized fund highlights a growing trend of merging traditional finance with digital innovation. Tokenized Treasury bills offer around-the-clock trading, reduced costs, and improved liquidity—benefits that appeal to both institutional and retail investors.

As regulations evolve and technology matures, more asset managers are expected to explore tokenized financial products. Fidelity’s entry into this space reinforces the belief that the tokenization of RWAs is not just a trend—but the future of asset management.