BlackRock bets big on blockchain with new money fund plans

BlackRock is taking another step into crypto by planning two new funds that trade on blockchain instead of traditional exchanges. The move shows how Wall Street is slowly merging with digital money systems, even as regulators try to keep up. The first fund copies a well-known $6. 1 billion US Treasury fund but will sell shares on the Ethereum network. This version keeps the same safe rules—only government bonds and short-term loans—but now runs on blockchain. The second fund, still unnamed in filings, is made for crypto users who deal in digital dollars called stablecoins. It will work across multiple blockchains, making it easier for crypto businesses to use as a safe place to park cash.A big reason for these funds is a new US law called the GENIUS Act, which could set rules for how stablecoin companies hold reserves. BlackRock is already pushing for rules that would let its funds count toward those reserves, giving it an advantage. It also just told regulators it wants flexible rules, not strict limits, so it can move money faster in emergencies. This push comes as blockchain-based assets grow fast. Over 767, 000 people now hold parts of these "tokenized" funds, worth over $30 billion in total. BlackRock is already a major player here, with one fund already holding $2. 4 billion. The company’s boss has said digital ledgers could make investing cheaper and easier, helping more people join the financial system. But not everyone is convinced. Some worry that mixing old-school finance with new tech could create unexpected risks. If blockchains get hacked or rules stay unclear, even "safe" funds might not be as secure as they seem.