The financial world is witnessing a significant shift towards tokenization, with BlackRock leading the charge by tokenizing $1 billion in US Treasuries and launching a digital assets fund, the Blackrock Institutional Digital Liquidity Fund (BUIDL), targeting qualified institutions. This move is part of a broader trend where traditional financial institutions and central banks, including the New York Fed and others participating in the Bank for International Settlements' (BIS) Project Agorá, are exploring tokenization to enhance the efficiency and integrity of global financial systems. The initiative aims to tokenize cross-border payments and is seen as a step towards embracing blockchain technology to represent ownership of real-world assets. However, this shift raises new policy questions and regulatory challenges, particularly concerning anti-money laundering (AML) obligations and the need for close monitoring and regulation due to its limited track record in legitimate finance. BlackRock's $10T bet on Ethereum and the involvement in a market aiming for a slice of the $14 trillion tokenisation pie underscore the scale and potential impact of these efforts.