Ethena said its yield-producing “synthetic dollar” token will be integrated into BlackRock’s (BLK) Aladdin investment management platform as the crypto protocol deepens its relationship with traditional financial companies.
Monday’s announcement sends Ethena’s governance token $this ($this) rose about 8% on the day as investors welcomed a renewed focus on institutional partnerships.
Aladdin is BlackRock’s portfolio construction, trading, and risk management platform used by banks, insurance companies, pension funds, and asset managers with over $20 trillion in combined assets. This integration gives institutions using Aladdin access to: $USDeEthena’s yield token designed for on-chain savings and payments.
Etena also said that BUIDL, BlackRock’s tokenized money market fund, will serve as a key reserve asset for the upcoming white label product. The companies also plan to establish a liquidity facility for BlackRock’s tokenized products.
The announcement is the latest in a series of partnerships between global asset managers and decentralized finance protocols.
Earlier this year, BlackRock expanded its tokenized money market fund through a partnership with Uniswap and also invested an undisclosed amount in the decentralized exchange’s UNI token. Private markets giant Apollo Global Management (APO) has signed an agreement with lending protocol Morpho to bring tokenized private credit assets on-chain.
