BNB News Update: BlackRock’s BUIDL Connects Conventional Finance with Blockchain Networks

Binance, recognized as the leading cryptocurrency exchange by trading volume, has revealed that

will now be accepted as off-exchange collateral for institutional clients. Enabled by the tokenization platform Securitize, this initiative represents a notable advancement in merging conventional financial products with blockchain technology, broadening institutional and sophisticated traders’ access to tokenized U.S. Treasuries.

The BUIDL fund,

, is now offered as a collateral choice on Binance, enabling participants to utilize yield-bearing assets while remaining compliant. , noted that there has been a rising demand from institutional users for stable, interest-earning assets to use as collateral during trading activities. By and the crypto-native custodian Ceffu, Binance seeks to optimize capital efficiency for its clientele.

At the same time, , which is part of Binance’s blockchain ecosystem. This rollout, with support from Securitize and cross-chain provider , highlights the on public blockchain networks. , pointed out that the platform’s scalability and cost-effective infrastructure make it well-suited for programmable financial products such as BUIDL. The , gives eligible investors access to U.S. dollar yields and supports innovative on-chain investment approaches.

, called this progress a key milestone in making tokenization practically useful for markets. Since its initial issuance in March 2024, the fund , such as , , and . Its integration with Binance and Chain in onchain finance, helping to bridge traditional finance and decentralized systems.

This development mirrors larger trends in the RWA sector,

are becoming more popular as sources of collateral and liquidity. , including FalconX and now Binance, marks a move away from stablecoins as the main collateral in derivatives markets. at about $36 billion, with BUIDL accounting for a notable share.

, recently listing BNB on exchanges like Coinbase and Kraken, its partnership with demonstrates the merging of institutional-grade assets and blockchain technology. For institutional traders, being able to use BUIDL as collateral while maintaining yield and compliance in managing capital.