BlackRock Enters DeFi with $2.2 Billion Tokenized Treasury Deployment

BlackRock has made a significant move into decentralized finance (DeFi) by deploying approximately $2.2 billion through tokenized treasury funds on UniswapX. According to NS3.AI, this marks BlackRock's first direct exposure to DeFi governance tokens, highlighting a growing interest in the sector. Market expectations for Federal Reserve rate cuts are increasing, with a 30% probability of cuts before April and over 80% before June. This anticipation is influencing market dynamics, as investors adjust their strategies in response to potential monetary policy changes. In parallel, U.S. spot Bitcoin ETFs have experienced $410 million in outflows, coinciding with Bitcoin's decline below $66,000. This has raised concerns about institutional sell-offs and heightened market volatility, as investors remain cautious amid these developments.