Franklin Templeton, a major global asset manager, said Wednesday that it has launched its tokenized US Ministry of Finance in Luxembourg, which expanded access to European institutional investors.
The launch of Franklin Onchain US Government Money Fund marks the first Luxembourg-Domiciled Fund to invest in US state securities that are fully tokenized, asserted Asset Manager in a press release. This means that shares in the fund are registered and transferred on blockchain rather than through traditional processes using the Franklin Templeton’s proprietary blockchain-based transfer agency platform to handle transactions to offer improved efficiency, transparency and safety.
The fund is available at Stellar Network (XLM) for institutional investors in Austria, France, Germany, Italy, Liechtenstein, the Netherlands, Spain and Switzerland after regulatory approval in October by Luxembourg regulators. The US-registered version of the fund has attracted over $ 580 million of assets since its debut in 2021 and is only limited to US-based investors, per year. Rwa.xyz data.
Tokenized US Treasury has been at the forefront of the red hot real assets tokenization efforts growing to an asset class of $ 4 billion this year. Franklin Templeton was the first among traditional financial institutions that released such a product, and it is the third largest tokenized Ministry of Finance of assets under the management behind Hashnote’s Usyc and Buidl, issued by Blackrock and Securitize.
Read more: Franklin Templeton is expanding $ 594m Market money to Solana
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