TLDR
- BlackRock enters DeFi with sBUIDL live on Avalanche via Euler.
- sBUIDL brings BlackRock’s Treasuries into DeFi—fully redeemable.
- Borrow stablecoins with sBUIDL and earn AVAX rewards.
- sBUIDL turns passive yield into active DeFi utility.
- Avalanche powers BlackRock’s first on-chain DeFi move.
BlackRock has entered decentralized finance as its tokenized fund BUIDL integrates with Euler on the Avalanche blockchain. Securitize has launched sBUIDL, a composable ERC-20 token minted from BUIDL, enabling on-chain functionality. This marks BlackRock’s first direct DeFi protocol integration and a new era for tokenized real-world assets.
1/ A historic first in DeFi.
BlackRock-backed sBUIDL, issued by @Securitize, is now live on Euler.
It’s sBUIDL’s first ever direct DeFi integration.
Curated by @Re7Labs on @Avax. pic.twitter.com/B7tTuGzqHL
— Euler Labs (@eulerfinance) May 15, 2025
sBUIDL is issued using Securitize’s vault system, allowing users to lock BUIDL and mint sBUIDL for DeFi use. The token maintains full 1:1 redeemability for BUIDL, which holds short-term U.S. Treasuries and repos. BlackRock now connects traditional asset exposure with permissionless protocols without compromising yield or liquidity.
The integration allows sBUIDL to be used as collateral on Euler’s borrowing and lending markets on Avalanche. The asset earns native AVAX liquidity rewards while users access DeFi-native features. Re7 Labs curated the listing and manages the risk parameters across the Euler deployment.
sBUIDL Unlocks DeFi Access for BlackRock’s Treasury Fund
sBUIDL transforms the traditionally passive nature of BlackRock’s BUIDL fund into an actively usable DeFi asset. It holds all the underlying characteristics of BUIDL while allowing composability in on-chain protocols. Users can maintain yield exposure while leveraging the token for borrowing and other DeFi strategies.
Through the Euler integration, sBUIDL offers up to 92.5% loan-to-value (LTV) and enables borrowing of major stablecoins. Supported assets include USDC, USDT, AUSD, and deUSD, enhancing utility across the Avalanche ecosystem. Users can also participate in AVAX mining rewards when borrowing against sBUIDL.
This positions sBUIDL as a functional bridge between BlackRock’s tokenized treasury exposure and decentralized financial markets. It improves capital efficiency for BUIDL holders by enabling real-time liquidity and active portfolio management. BlackRock now enters a more composable digital finance landscape while retaining full asset backing.
Euler Lists BlackRock’s sBUIDL with AVAX Incentives
Euler has listed sBUIDL as a deposit-enabled asset on its Avalanche deployment, supporting BlackRock’s expansion into DeFi markets. Users can now supply sBUIDL as collateral to borrow other assets while maintaining exposure to Treasury yields. This brings a new utility layer to a $3 billion tokenized fund.
The Euler platform relaunched in 2024 after resolving a previous exploit, now offering a modular, developer-first protocol. Its redesigned architecture has attracted over $387 million in deposits, reflecting renewed confidence in its risk controls and structure. The listing of sBUIDL signals growing institutional interest in secure, composable lending markets.
Re7 Labs and Securitize structured the launch, with Merkl providing additional AVAX incentives for participating users. These incentives enhance the value proposition for sBUIDL holders looking to earn while leveraging DeFi tools. BlackRock’s on-chain participation now offers a scalable model for real-world asset composability.
Avalanche Enables Institutional DeFi with BlackRock’s Entry
Avalanche provides the infrastructure for BlackRock’s sBUIDL to operate within decentralized markets. The chain’s low fees and fast finality support scalable, permissionless finance. With sBUIDL now active, Avalanche deepens its position as a blockchain for real-world asset adoption.
This development marks Avalanche’s growing role in enabling compliant on-chain asset management. BlackRock’s integration signals that the chain meets key performance and security standards for institutional use. Avalanche becomes a proving ground for real-world asset composability at scale.
BlackRock advances its digital asset strategy by launching sBUIDL on Avalanche and integrating with Euler. It establishes a live use case for tokenized Treasuries within a regulated and composable environment. The result is an efficient and transparent pathway for traditional capital to interact with DeFi systems.
