Bittime - BlackRock came knocking when Arbitrum was looking for yield. This news surprised many parties because BlackRock opened up the potential for collaboration with Arbitrum.
This shocking information of course gave rise to various speculations, one of which was the assumption that the value of Arbitrum would explode.
BlackRock Bid for Arbitrum DAO
Digital cooperatives that manage large parts of the crypto economy typically contract native crypto companies when they need security audits, help with managing finances, and other services.
However, several firms with ties to Wall Street entered the volatile DAO governance arena last weekend by offering to help Arbitrum DAO diversify its holdings.
On the other hand, the DAO that has been around for a year intends to invest 35 million ARB tokens, which equates to about $37 million, into stable and liquid assets that “provide returns that are at least uncorrelated with the crypto market,” according to what known as the 'risk-free rate of return' by the US Treasury.
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In open discussions that ended on Sunday, more than twenty companies introduced their own products.
The list includes DeFi protocol Frax, as well as real-world asset companies Ondo and Centrifuge.
There were other surprises, however: Franklin Templeton , an asset manager that hails from Wall Street and is valued at trillions of dollars, and Securitize, a company that is seven years old and has helped the world's largest asset manager, BlackRock, in their efforts to tokenize assets such as stocks and bonds by bringing them onto the blockchain .
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RWA Expansion Efforts in the Arbitrum Ecosystem
Although some people have tried using private blockchains or offering Bitcoin exchange-traded funds, few have actually engaged with DAOs, which are cooperatives whose public decisions are often headline-grabbing and sometimes controversial.
Ryan de Souza, who focuses on partnerships at Arbitrum-backing company Offchain Labs, praised the efforts made by Arbitrum DAO and its team to make institutions feel comfortable submitting proposals in public forums.
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He also mentioned that initial discussions about supporting RWA teams turned into an incredible governance proposal, with the participation of DeFi and TradFi teams looking to bring RWA to Arbitrum.
The initiative, called the Arbitrum Stable Treasury Endowment Program, or STEP, grew out of conversations with protocols on the Arbitrum blockchain, according to the DAO application request.
"Our conversations with RWA protocols at Arbitrum indicate that they don't need grants as much as legitimate product customers," the request reads. "Another way to look at STEP is as a program to expand the RWA ecosystem at Arbitrum."
In 2023, RWA tokenization became a hot topic in the blockchain world, although this interest has decreased this year due to the crypto market returning to optimism and high-risk trading.
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It was decided in June
In its STEP initiative, Securitize introduced BUIDL, a $381 million Ethereum-based token fund owned by BlackRock.
Data from RWA.xyz shows that the fund recently replaced Franklin Templeton's FOBXX as the industry's largest fund.
Securitize stated that they are familiar with the DAO concept.
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Jonathan Espinosa, the company's chief investment officer , wrote in his application that as one of the top 10 transfer agents, Securitize has worked with many crypto-native companies, often through processes and requirements similar to DAO.
Franklin Templeton also introduced FOBXX, whose BENJI token is based on the Stellar and Polygon blockchains.
The company has also put forward a similar proposal on the MakerDAO forum, touting its experience in the crypto world.
In its application, Franklin Templeton wrote that it has been operating nodes on the Provenance and Stellar blockchains since 2019.
In 2021, they began operating node validators and staking on four additional Proof-of-Stake blockchain networks : Ethereum, Cardano, Solana, and Polkadot. In 2023, they started supporting Polygon, Aptos, Avalanche, and Arbitrum.
A committee consisting of several organizations with deep experience in DAO governance will review the application, with a decision expected to be made in June.
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Prediction of BlackRock's Presence at Arbitrum Prices
According to crypto influencer Kurnia Bijaksana via a post on his X account. If it is true that BlackRock submitted the RWA project to Arbitrum, then there is the potential for a price spike.
Technically, the $ARB value is still below the 21 EMA line on the daily time frame, which indicates that signs of an upside are not yet clear.
Source: https://twitter.com/mkbijaksana
However, there is a possibility of accumulation or potential price spike from the current level (around 0.9-1 USD), which is indicated by the large trading volume there and the formation of a new POC (Point of Control) since the ARB price decline in zone 2, 1 USD.
If there is a breakout from this POC area, it is possible that Arbitrum will reach at least 1.5 USD.
How to Buy Arbitrum (ARB) on Bittime
You can buy and sell Arbitrum (ARB) in an easy and safe way via Bittime . Bittime is one of the best crypto applications in Indonesia which is officially registered with Bappebti.
Arbitrum (ARB) is available on Bittime with the market pair ARB/IDR . To be able to buy ARB IDR at Bittime, make sure you have registered and completed identity verification. Apart from that, also make sure that you have sufficient balance by depositing some funds into your wallet. For your information, the minimum purchase of assets on Bittime is IDR 10,000. After that, you can purchase crypto assets in the application.
Learn the complete guide on how to buy Arbitrum (ARB) on Bittime .
Monitor price chart movements for Arbitrum (ARB) , Bitcoin (BTC) , Ethereum (ETH) , Solana (SOL) and other cryptos to find out today's crypto market trends in real-time on Bittime.
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DISCLAIMER: This article is informational in nature and is not an offer or invitation to sell or buy any crypto assets. Trading crypto assets is a high-risk activity. Crypto asset prices are volatile, where prices can change significantly from time to time and Bittime is not responsible for changes in fluctuations in crypto asset exchange rates.
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