Rising institutional interest in major assets such as
$BTC have led to a surge in demand for ETFs. In fact, Bitcoin ETF inflows are nearing $10 Billion since the election.
Injective is continuing to pave the way for new RWA offerings and recently became the first blockchain to launch the BUIDL Index which tracks the size of BlackRock's
$BUIDL Fund.
The BUIDL Index brings the world’s first perpetual market for BlackRock’s BUIDL Fund, allowing anyone to gain 24/7 exposure to tokenized assets such as U.S. treasuries with leverage.
Let's see how this RWA product works on Injective 👇
Instead of creating an asset that tracks the price of the underlying asset, this index market tracks the underlying supply of the
@BlackRock $BUIDL fund itself.
As the supply of BUIDL rises, the price of the index perpetual also rises. As supply falls, the price of the index falls. Users are therefore able to take on long or short positions on the index depending on which way they think the market is going. As the supply of BUIDL tokens rises, the price of the index perpetual also rises. As supply falls, the price of the index perpetual falls. Also, because of the nature of this index perpetual market on native Injective DEXs such as
@Helixapp_, traders have the option to utilize leverage.
The index market is based on the fund’s mark price, which fluctuates intraday based on the percentage change of supply. Price changes are reflected in the market using a 1-hour TWAP to mitigate any short-term volatility resulting from significant mint or burn movements.
This product was created due to rising demand in the space for tracking inflows and outflows of the BUIDL Fund. Recently, tokenized treasuries has become a key barometer for institutional interest in crypto as a whole.
Injective continues to pave the way by providing traders exclusive markets that can’t be found anywhere else. This coupled with infrastructure that can keep up with user demands leads to a highly performant ecosystem of dApps that can operate at the speed of finance.
The BlackRock BUIDL index is just the beginning. Injective is continuing to lead the way across the entire RWA category to bring the entire world of traditional finance on-chain.
On-chain BlackRock is here. Only on Injective.