BlackRock’s New Gateway to Crypto Wallets: Access Investment Strategies With a Single Token

BlackRock and Ondo Finance have, for the first time, made BlackRock’s ETF portfolio strategies available to eligible investors outside the U.S. through transferable onchain tokens.

According to a report by Wu Blockchain citing The Wall Street Journal, Ondo Intelligent Portfolios allows investors to access ETF portfolio strategies developed by BlackRock through crypto wallets and decentralized finance (DeFi) applications. Each strategy is represented by a separate token; all three strategies are not combined into a single token.

Launching with three different strategies

The product’s initial lineup includes High Income (BLKHIon), Diversified Growth (BLKDIGon), and High Growth (BLKGRWon). These strategies are offered under the names High Income, Diversified Growth, and High Growth, respectively.

Investors can invest in the ETF portfolio for their chosen strategy through a single transferable token. The innovation here is that these BlackRock portfolio strategies are now available onchain; the announcement does not mean this is BlackRock’s first tokenization initiative.

Will anyone with a crypto wallet be able to access it?

The product is available to investors outside the U.S. who meet the eligibility requirements. Therefore, having a crypto wallet alone does not provide access. The source report does not specify which countries are covered or the detailed requirements investors must meet.

The ability to use the tokens with major crypto wallets and DeFi applications brings traditional ETF portfolio strategies into onchain investment tools. However, this usability does not eliminate the product’s investor eligibility requirements.