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BlackRock launches tokenized investment portfolios on blockchain
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BlackRock launches tokenized investment portfolios on blockchain

Sep 24, 2026

Ondo Finance has launched three onchain portfolio products based on model portfolio strategies developed by BlackRock, the world's largest asset manager. The products—BLKHIon, BLKDIGon, and BLKGRWon—allow eligible non-U.S. investors to access diversified allocations of stock, bond, and bitcoin ETFs through a single token. While BlackRock designed the underlying strategies, Ondo handles the tokenization, issuance, and smart-contract-based rebalancing. The launch comes amid an internal leadership dispute over control of Ondo following the death of founder Nathan Allman.

Launch of BlackRock-powered portfolios

  • ▪Ondo Finance launched three onchain portfolio products on September 24, 2026, based on model portfolio strategies developed by BlackRock
  • ▪The three products Ondo Finance launched on Thursday are Ondo High Income Powered by BlackRock (BLKHIon), Ondo Diversified Growth Powered by BlackRock (BLKDIGon), and Ondo High Growth Powered by BlackRock (BLKGRWon)

Tokenized portfolio offerings

  • ▪Ondo Finance launched a total of seven tokenized model portfolios on September 24, 2026, including the three BlackRock-designed portfolios, BLKHIon, BLKDIGon, and BLKGRWon
  • ▪Ondo's tokenized BlackRock-designed BLKHIon, BLKDIGon, and BLKGRWon portfolios are available to eligible investors outside the United States in permitted jurisdictions

BlackRock's limited role in the products

  • ▪BlackRock's role is limited to providing nondiscretionary model portfolio strategies based on specifications supplied by Ondo Finance
  • ▪BlackRock does not manage Ondo's onchain BLKHIon, BLKDIGon, and BLKGRWon portfolios or handle the tokenization, issuance, distribution, custody, or operation of the products

In-kind tokenization route for institutions

  • ▪Ondo Finance opened a route on September 21, 2026, allowing approved institutions to mint tokenized stocks on Ethereum and BNB Chain using existing share inventory
  • ▪Ondo Finance's in-kind conversion route leverages Alpaca's Instant Tokenization Network to transfer shares from an institution's Alpaca account to the Ondo Alpaca account

Leadership dispute at Ondo Finance

  • ▪Kathleen Allman alleges Ian De Bode assumed the chief executive role without board approval, an accusation De Bode has called meritless
  • ▪Kathleen Allman, mother of deceased Ondo founder Nathan Allman, is seeking control of Ondo Finance and the removal of Acting CEO Ian De Bode

Debatable claims

  • ▪BlackRock bears responsibility for the safety of Ondo's tokenized portfolios
  • ▪Tokenizing traditional investment portfolios on the blockchain provides genuine utility
  • ▪Allowing institutions to mint tokenized stocks using existing share inventory poses unacceptable market risks

4 sources

Cryptopolitan
Ondo lets institutions turn existing share inventory into tokenized stocks on Ethereum and BNB Chain
View source article
The Block
Ondo launches onchain portfolio tokens based on BlackRock-developed strategies
View source article
The Wall Street Journal
Exclusive | BlackRock Investment Portfolios Debut on the Blockchain as Digital Tokens
View source article
U.Today
BlackRock Puts Investment Portfolios on Blockchain - U.Today
View source article

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Institutional crypto adoptionBlockchain technologyTokenizationOndo BlackRock Intelligent Portfolios launchReal World AssetsDeFi