BlackRock To Offer $150 Billion Blockchain Treasury Fund, Crypto Continues Rally, and Arizona Passes Reserve Bills

Takeaways

• BlackRock has filed to offer “DLT shares” of its $150 billion Treasury Trust Fund, with ownership recorded on a distributed ledger: The digital shares, sold exclusively through BNY Mellon, carry a $3 million initial minimum investment with no follow-on requirement.
• The US reported negative GDP growth, slowed hiring in Q1: The price of bitcoin wavered initially Wednesday following the latest economic data, but it quickly recovered and then surged higher Thursday to push past $97,000.
• Arizona’s House passed two bills enabling a strategic Bitcoin and digital asset reserve: If signed into law, the state treasurer could allocate up to 10% of funds into cryptocurrencies, making Arizona the first US state to formally create a crypto reserve.
• DeFi Development Corp has filed with the SEC to raise up to $1 billion in securities for general corporate purposes, including additional Solana purchases: The company already holds $48.2 million in SOL and plans to run validators under its newly overhauled executive team.
• Stripe is inviting businesses outside the US, UK, and EU to test its new stablecoin payment product after winning approval to acquire Bridge: Citi forecasts that the stablecoin sector could expand to a $3.7 trillion market by 2030.

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BlackRock Files to Tokenize $150 Billion Treasury Trust Fund Via BNY Mellon

The digital shares would be offered solely via BNY Mellon, which plans to use blockchain technology to maintain a mirror record of institutional share ownership.

Under the proposed structure, qualified institutions would need to commit at least $3 million on their first purchase, though no minimum would apply to subsequent investments. The filing makes clear the use case of blockchain technology as a means of verifiable record-keeping for typically traditional financial institutions.

BlackRock CEO Larry Fink recently stated that tokenization “will revolutionize investing” by enabling near-instant clearing, fractional ownership, and secured digital voting rights. However, Fink also made clear his belief that mainstream adoption of this technology would be contingent on robust methods for verifying identities. BlackRock’s entry to the space follows similar initiatives by JPMorgan and State Street exploring blockchain rails to modernize fund distribution and settlement.

US GDP Declines, Hiring Slows in Q1

Concurrently, an ADP estimate released Wednesday revealed private sector hiring pulled back significantly in April, dropping to 62,000 jobs after around 147,000 jobs were created in April. And PCE, a closely watched inflation measure, jumped to 3.5%, surpassing 3.1% analyst estimates.

The prices of bitcoin initially pulled back after the sobering economic data, but it quickly recovered late in the day, pushing back toward $95,000 and then surging past $97,000 on Thursday amid a broader market rally.

Arizona House Approves Bills to Establish State Crypto Reserve

State Representative Jeff Weninger noted that at least 15 states are considering similar measures.

The bills now head to Governor Katie Hobbs, who has signaled she may veto crypto legislation until a funding solution for disability healthcare is secured. But with the healthcare issue addressed in a bill on April 24, Hobbs may sign these crypto reserve bills into law.

If the bills were passed, Arizona would become the first US state with a formal crypto treasury. The effort mirrors federal initiatives in March, when President Trump issued an executive order calling for a national “Strategic Bitcoin Reserve” and “Digital Asset Stockpile”. Arizona’s keen interest in a crypto reserve shed light on gathering momentum among state and federal policymakers to embrace cryptocurrency.

DeFi Development Files $1 Billion Shelf to Expand Solana Treasury

Proceeds will be used for “general corporate purposes,” including the acquisition of more SOL tokens to bolster its Solana-focused treasury strategy. To date, the firm has already accumulated approximately more than $48 million worth of SOL and anticipates operating one or more validators.

The push mirrors tactics popularized by bitcoin-heavy corporations such as Michael Saylor’s Strategy, and follows SOL Strategies’ recent $500 million convertible note facility. The move also arrives in the wake of a leadership overhaul, with ex-Kraken executive Joseph Onorati being named CEO and chairman. Early investors, including Pantera Capital and Arrington Capital, are set to register 1.24 million shares under the new shelf.

Stripe Pilots Stablecoin Payments for Non-US,UK and EU Firms

The project has been in development for nearly a decade and follows Stripe’s recent regulatory clearance to acquire Bridge, a stablecoin payments platform founded by former Coinbase executives.

The pilot arrives amid a rush by crypto firms and traditional financial institutions to stake their claim in the burgeoning stablecoin sector. Citi analysts have likened stablecoins to a potential AI-boom moment for blockchain adoption, forecasting that the market could swell from its current size into a $3.7 trillion industry by 2030. Stripe first embraced crypto in 2014 as the first major processor to accept bitcoin, though it later discontinued the feature due to network speed and fee issues.

-Team Gemini