Global: JPMorgan launches tokenized money market fund

JPMorgan Asset Management has launched its first tokenized money market fund on the public ethereum blockchain.

Qualified investors can access the bank’s My OnChain Net Yield Fund (Mony) through the Morgan Money platform, receiving tokens at their blockchain addresses. By investing only in traditional US Treasury securities, subscribers can earn yield while holding the token on the blockchain.

Powered by the JPMorgan’s inhouse blockchain unit Kynexis, the fund offers daily dividend reinvestment and investors will be able to subscribe and redeem using cash or stablecoins through the Morgan Money platform.

The fund’s tokenization additionally provides peer-to-peer transferability and the potential for broader collateral usage within the blockchain ecosystem.

John Donohue, head of global liquidity at JPMorgan Asset Management, says: “With Morgan Money, tokenization can fundamentally change the speed and efficiency of transactions, adding new capabilities to traditional products. This marks a significant step forward in how assets will be traded in the future.”