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Tokenized Investment Funds Reach $7.7 Billion AUM All-Time High: BlackRock's BUIDL Dominates on Ethereum

Tokenized Investment Funds Reach $7.7 Billion AUM All-Time High: BlackRock's BUIDL Dominates on Ethereum

<Image src="https://pbs.twimg.com/media/G1J3pY-XgAAPhil.jpg" alt="Chart of tokenized investment funds AUM growth from 2023 to 2025, reaching $

🔍 Researching BUIDL fund
- BUIDL is BlackRock's USD Institutional Digital Liquidity Fund, tokenized by Securitize, on Ethereum and now Solana.
7.7B ATH" width={800} height={450} />

Hey folks, if you've been keeping an eye on the blockchain scene, you've probably noticed how tokenization is turning heads in the finance world. Just yesterday, Token Terminal dropped a bombshell chart showing that the total assets under management (AUM) for tokenized investment funds has skyrocketed to an all-time high of $7.7 billion. That's right—$7.7 billion locked up in these digital-native versions of traditional funds.

For the uninitiated, tokenized funds are basically your classic investment vehicles—like money market funds or treasuries—wrapped up as blockchain tokens. Think 24/7 trading, fractional ownership, and seamless integration with DeFi protocols, all without the old-school paperwork headaches. It's the kind of innovation that's blurring the lines between Wall Street suits and crypto hoodies.

The Star of the Show: BlackRock's BUIDL Fund

Leading the pack? None other than BlackRock's BUIDL fund, the USD Institutional Digital Liquidity Fund. This bad boy is sitting pretty on Ethereum, tokenized by Securitize and bridged across chains via Wormhole. As of mid-2025, BUIDL alone has ballooned past $2 billion in AUM, making it the undisputed king of on-chain treasuries.

Launched back in 2024, BUIDL started as BlackRock's first foray into tokenized money markets, offering institutional investors a yield-bearing stablecoin alternative backed by U.S. Treasuries and cash equivalents. Fast-forward to today, and it's not just growing—it's thriving. Recent expansions, like adding support on Solana, have only juiced its appeal, pushing AUM from $1 billion in March 2025 to over $2.3 billion by summer.

But BUIDL isn't flying solo. The chart highlights a colorful lineup of contenders:

  • WTGX and OUSG on Ethereum: These are hot on BUIDL's heels, focusing on short-term treasuries.
  • USDY on Solana: Bringing that high-speed Solana vibe to tokenized yields.
  • BCAP on zkSync Era: Layer-2 efficiency at its finest for scaling these funds.
  • And don't sleep on the off-chain players like USCC, rounding out a diverse ecosystem.

From a measly sub-$1 billion in early 2023, the whole sector has stacked up like a Jenga tower on steroids, hitting that $7.7B peak. Ethereum dominates the landscape, but zkSync Era and even Polygon are carving out niches with lower fees and faster txns.

Why This Matters for Blockchain Builders (and Meme Enthusiasts)

Look, at Meme Insider, we're all about those wild meme token rides, but this tokenization wave is the real game-changer for the broader ecosystem. More TradFi money flowing on-chain means deeper liquidity pools, which could supercharge everything from DeFi lending to—yes—meme token launches. Imagine BlackRock-level capital brushing up against your favorite dog coin; that's the kind of volatility (and opportunity) we're talking about.

Plus, with Securitize handling the tokenization heavy lifting and Wormhole ensuring cross-chain portability, we're seeing real interoperability in action. It's not just hype—it's infrastructure. For blockchain practitioners, this screams "build on it." Whether you're coding smart contracts or just HODLing memes, understanding RWAs (real-world assets) like these funds is key to staying ahead.

As the chart teases "+42 more," expect even more funds to pile in. Will we see $10B by year's end? Who knows, but one thing's clear: tokenization isn't a fad—it's the future of finance. What's your take—bullish on BUIDL, or eyeing the next underdog? Drop your thoughts in the comments.

Data sourced from Token Terminal as of September 18, 2025.

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