BlackRock Launches Tokenized Money Market Funds on Ethereum, Covering $311 Billion in European Assets

BlackRock has expanded its digital asset footprint by launching Ethereum-based tokenized share classes for its $311 billion European Institutional Cash Series, utilizing JPMorgan's Kinexys platform. This rollout follows BlackRock's launch of two U.S. tokenized funds, BSTBL and BRSRV, aimed at stablecoin reserves. Concurrently, the Ethereum ecosystem is maturing, marked by the launch of infrastructure firm Blockspace, a record 34.4% staking ratio, and debates over the 'Tapered Issuance Burn' proposal.

Ethereum infrastructure developments

• ▪Blockspace, a for-profit Ethereum infrastructure company, launched with backing from BlueYard, ether.fi Ventures, SharpLink, Breed VC, Luganodes, and Stakely.
• ▪Blockspace plans to earn rewards by running validator and infrastructure services, reinvesting those rewards into staking, and capping its total Ethereum holdings at 15% of the total stake.
• ▪Blockspace plans to work alongside the Blockspace Forum, an open-source coordination effort for teams building across Ethereum's transaction pipeline.

Institutional ETH treasury strategies

• ▪SharpLink, a Nasdaq-listed Ethereum treasury company, reported earning 417 Ethereum in staking rewards, bringing its cumulative staking rewards to 24,755 Ethereum.
• ▪SharpLink's core treasury strategy focuses on holding and staking Ethereum to generate consistent on-chain yield rather than relying solely on price appreciation.

Tapered Issuance Burn proposal

• ▪Aave founder Stani Kulechov opposed the 'Tapered Issuance Burn' proposal, arguing it would make Ethereum yields unpredictable and weaken Ethereum-based decentralized finance lending markets.
• ▪The 'Tapered Issuance Burn' proposal aims to fully offset issuance rewards once staked Ethereum reaches approximately 60.25 million, removing the incentive for further staking growth.
• ▪Ethereum developers submitted a draft core proposal, 'Tapered Issuance Burn,' to gradually burn a portion of validator rewards as the network-wide validator participation ratio rises.

Ethereum staking ratio milestone

• ▪Ethereum's staking ratio reached an all-time high of 34.4%, up from 30.0% at the start of 2026.
• ▪A rising Ethereum staking ratio reflects growing validator confidence and reduces the circulating liquid supply of Ethereum.

BlackRock tokenized money markets

• ▪BlackRock launched two U.S. tokenized money market products, BSTBL and BRSRV, designed to qualify as eligible reserve assets for U.S. payment stablecoin issuers under the GENIUS Act.
• ▪BlackRock's European tokenized share classes are built on Kinexys by JPMorgan, allowing 24/7 peer-to-peer transfers between approved investor wallets via smart contracts.
• ▪The European rollout covers 12 tokenized share classes across BlackRock's Institutional Cash Series Euro Government Liquidity, Sterling Government Liquidity, U.S. Treasury, Euro Liquidity, Sterling Liquidity, and U.S. Dollar Liquidity funds.
• ▪BlackRock launched Ethereum-based tokenized share classes for select European money market funds, extending part of its $311 billion Institutional Cash Series onto blockchain infrastructure.
• ▪BlackRock manages $60 billion in reserves for Circle, representing approximately one-quarter of the estimated $300 billion stablecoin market.