BlockBeats reported that on June 17, The Block reported that FalconX has launched tokenized Treasury bond fund transactions as some investors have increased interest in securities issued by the US government.

The crypto-focused prime brokerage executed its first trade on June 11, a FalconX representative told The Block. USTBs are digital tokens representing short-term bonds issued by the U.S. government that can be traded on a public blockchain.

The company’s support for the token comes as U.S. Treasuries continue to offer yields above 5%, after the Federal Reserve raised interest rates to curb inflation. As a result, some risk-averse traders are investing in digital assets backed by Treasuries rather than stablecoins, which could experience price volatility if they decouple from the underlying asset.