Kaiko released a report saying that interest rate cuts are unlikely to limit the appeal of tokenized Treasuries. BlackRock's on-chain tokenized fund BUIDL, which offers investments in traditional debt instruments such as U.S. Treasuries, has quickly become the largest on-chain fund by assets under management (AUM). Launched in March 2024 in partnership with Securitize, the fund has attracted more than $520 million in inflows to date.
If real interest rates remain stable, the potential stimulative effect of a Fed rate cut could be weaker than expected. In this case, Treasuries may still be attractive compared to risky assets because investors may prefer liquidity and safety to risk.
Kaiko: Interest rate cuts unlikely to limit the appeal of tokenized government bonds
2024-08-19 14:56:44
Kaiko release report rate cut possible limit tokens treasury bonds attractive forcedesk3cryptocurrencydesktopCrypto News
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