China Pacific Insurance (CPIC) Investment Management, a Hong Kong-based subsidiary of one of China’s largest insurance groups, rolled a tokenized US dollar money-market fund as the asset docking trend is expanded to Asia.
Estable Money Market Fund (MMF) was launched on the Hashkey chain, a allowed blockchain for institutional users developed by Digital Asset Group Hashkey, and has secured $ 100 million in the first day subscription, according to a press release Monday.
The product is only available to professional and institutional investors and invests in US dollar-denomined short-term assets and money market instruments. PAC acts as a tokenization issuing platform for the fund, while Standard Chartered Bank delivers registration and fund management services.
Asset leaders across the globe are increasingly putting traditional financial instruments such as government bonds, credit and funds on blockchain rails, a process often called tokenization of assets in the real world (RWAs). In doing so, they seek to achieve operational and efficiency gains and faster, around the clock.
US-based issuers such as Franklin Templeton and Blackrock have been at the forefront of tokenization efforts by the US Ministry of Finance as a blockchain-based facility to manage cash holdings, similar to a money market fund. Last week, Fidelity Investments also filed for regulatory approval to enter the market with a fund built on the Ethereum network. This is a rapidly growing market: the total market value of dividends of dividends approx. 500% in the past year for almost $ 4.8 billion, Rwa.xyz data shows.
“The essence of financing is the flow of value over time and space, and Blockchain is the new infrastructure for this process,” Dr. Xiao Feng, chairman and CEO of Hashkey Group.
“Integration with traditional funding is an important direction for future web3 development and one of the instructions with the greatest security,” CG Zhou, CEO of CPIC Investment Management, said in a statement, adding that the company will try to tokenize more traditional assets using compliance-driven Blockchains.
