KAIO Launches Tokenized Funds from BlackRock and Brevan Howard on Sei Network
KAIO, a regulated real-world asset (RWA) platform, has launched tokenized funds from BlackRock and Brevan Howard on the Sei Network. This marks a new phase in institutional blockchain adoption. The partnership combines KAIO’s compliance framework with Sei’s high-speed infrastructure. Investors can now access tokenized versions of established fund strategies directly onchain.
One offering includes a KAIO-issued token backed by shares of the BlackRock ICS US Dollar Liquidity Fund. This fund is one of the world’s largest institutional money market funds. Tokenization allows investors to gain exposure to low-volatility, yield-bearing products through blockchain while maintaining institutional-grade compliance.
The Brevan Howard Master Fund has also joined the platform. It brings a macro-focused investment strategy to the Sei ecosystem.
KAIO COO Olivier Dang called the launch “a major milestone in institutional blockchain adoption.” He said the integration enables “composable access to fund strategies entirely onchain.”
Sei Development Foundation’s Executive Director Justin Barlow said the collaboration supports Sei’s goal to become “the institutional settlement layer for all digital assets.” He highlighted Sei’s ability to offer faster, smoother fund trading than traditional systems.
The integration allows tokenized fund shares to serve as collateral or yield reserves in DeFi and stablecoin systems. This boosts efficiency and transparency. It also positions Sei as a bridge between regulated finance and programmable DeFi.
BlackRock’s Expanding Onchain Presence
The Sei launch extends BlackRock’s growing push into blockchain finance. Weeks earlier, BlackRock’s iShares Bitcoin Trust (IBIT) became its most profitable ETF. It generated over $245 million in annual fees and neared $100 billion in assets under management in record time.
IBIT reached $97.8 billion in assets in just 435 days. This shows strong investor demand for tokenized and digital-native assets. BlackRock’s move to onchain fund tokenization via KAIO reflects a shift toward programmable infrastructure for faster, transparent settlement.
BlackRock is also developing new Bitcoin-linked products like its proposed Premium Income ETF. The Sei fund launch advances BlackRock’s dual-track digital strategy of combining tokenization with yield. It helps transform blockchain finance from an experiment into institutional machinery.
