OKX Allows Institutions to Use BlackRock BUIDL Tokenized Treasury Fund as Trading Collateral

Crypto trading platform OKX has integrated BlackRock’s BUIDL tokenized U.S. Treasury fund into its collateral system, enabling eligible institutional and VIP clients to use the asset as trading margin. The arrangement allows clients to hold BUIDL securely with Standard Chartered while trading on OKX Middle East, or alternatively deposit the asset directly onto the exchange.

The companies described the setup as the first globally systemically important bank-backed off-exchange tokenized collateral framework. The initiative builds on OKX’s earlier collateral mirroring program with Standard Chartered launched last year, originally designed to support the exchange’s expansion into European markets.

Tokenized Treasury Funds Improve Capital Efficiency

According to Rifad Mahasneh, CEO of OKX Middle East, North Africa and the Commonwealth of Independent States, the framework demonstrates how tokenized assets can function as active trading tools rather than passive holdings. BUIDL is treated as fungible with U.S. dollars, USDC and other dollar-denominated stablecoins within the margin system, while clients maintain full ownership and continue earning yield on their holdings.

BlackRock’s BUIDL fund, tokenized by Securitize, invests primarily in cash, U.S. Treasury bills and repurchase agreements, with yield distributed onchain.

Industry Competition Grows Around Tokenized Real-World Assets

The move highlights a wider industry push to transform tokenized real-world assets into usable trading infrastructure. Rival exchanges such as Binance have also integrated tokenized treasury products, including BlackRock’s BUIDL and Franklin Templeton’s BENJI fund, into similar off-exchange collateral models.

As of now, the framework is live for eligible institutional and VIP clients through OKX Middle East, with further expansion planned depending on jurisdictional approvals and market demand.