New Feature from BUIDL BlackRock Drives ONDO Price Up!
New Feature from BUIDL BlackRock Drives ONDO Price Up!
Circle, the company behind the USDC stablecoin, has just announced that holders of BlackRock's Institutional Digital Liquidity Fund (BUIDL) tokens can exchange BUIDL assets for USDC (April 11, 2024).
Jeremy Allaire, CEO of Circle, stated in a press release that USDC enables investors to quickly liquidate tokenized assets, reducing costs, and eliminating friction. "We are thrilled to provide this service to BUIDL holders and offer the key benefits of blockchain transactions through access to USDC," said Allaire. This development of Circle's smart contract could streamline the transfer of BUIDL shares to USDC without hindrance in the secondary market.
USDC offers a reliable and transparent method for those looking to sell their BUIDL shares while still holding digital dollars.
Ondo Finance Receives Positive Sentiment
Ondo Finance, a crypto project that has invested its funds in BUIDL, has already tested this exchange function. Ondo's wallet on Ethereum has exchanged BUIDL tokens worth $250,000 into USDC, according to data from Etherscan.
Nathan Allman, CEO of Ondo Finance, also confirmed this trial in a Telegram message to CoinDesk, stating, "We use it to instantly exchange OUSG at any time." This news has had a positive impact on the ONDO token price, which has increased by more than 8% in the last 24 hours. The ONDO price at the time of this article's release is trading at $0.8. Ondo Finance itself is one of the early adopters of BUIDL. The project utilizes it as a backing asset for its OUSG token, which is backed by short-term US government securities.
BlackRock, as one of the major players in the crypto industry, has supported the launch of Bitcoin ETFs and BUIDL token funds, allowing investors to purchase tokens representing shares in funds investing in assets such as US Treasury bonds.
Conclusions
The introduction of the new feature allowing BUIDL token holders to exchange their assets for USDC by Circle, the company behind the USDC stablecoin, marks a significant step forward in the liquidity and accessibility of digital assets.
This development not only enables investors to quickly liquidate their tokenized assets but also reduces costs and eliminates friction in the process. Ondo Finance's positive sentiment towards this exchange function further underscores its potential benefits, as evidenced by their successful test of exchanging BUIDL tokens for USDC.
The resulting increase in the ONDO token price reflects the market's optimism and confidence in the utility of BUIDL and its impact on the broader crypto ecosystem. As Ondo Finance emerges as an early adopter of BUIDL, leveraging it as a backing asset for its OUSG token, it highlights the growing integration and innovation within the crypto space.
With major players like BlackRock supporting initiatives such as Bitcoin ETFs and BUIDL token funds, investors have more opportunities to participate in diverse asset classes, further driving growth and development in the crypto market.
*Disclaimer:
This content aims to enrich reader information. Always conduct independent research and use disposable income before investing. All buying, selling, and crypto asset investment activities are the reader's responsibility.
