Franklin Templeton, one of the largest financial firms on Wall Street, has officially launched FOBXX, a tokenized money market fund, on the Ethereum blockchain. This is the first time the fund has been deployed on the Ethereum mainnet, although it has previously appeared on other blockchains.
Highlights:
FOBXX - The First Tokenized Fund Registered in the US
FOBXX is a #Nasdaq listed fund that focuses on investing in financial assets such as US government securities, cash and repurchase agreements.
What's special: Clients can buy shares of the fund and store them in a digital wallet through Franklin Templeton's Benji Investments mobile app.
Deployed on Ethereum - The World's Second Largest Blockchain
Ethereum is one of the most prominent #blockchain networks, highly regarded for its scalability, security, and decentralized programming.
FOBXX has previously been deployed on other blockchains such as Avalanche, Stellar, Aptos, and Ethereum extension networks such as Arbitrum, Polygon, and Base. However, the deployment on the Ethereum mainnet marks a major step forward, bringing FOBXX to the largest and most popular blockchain network.
Using blockchain as a transaction recording system
Franklin Templeton claims to be the first and only fund in the United States to use a public blockchain as a system for recording transactions and stock ownership.
Expanding Ethereum's Role in Traditional Investing
Ethereum has become a bridge between the cryptocurrency market and traditional finance. In particular, since the US Securities and Exchange Commission (SEC) approved ETFs that track the price of $ETH , the blockchain network has attracted more attention from investors.
Implications for finance and cryptocurrency
Franklin Templeton’s launch of a fund on Ethereum represents the growing convergence between blockchain technology and traditional financial markets. It not only enhances transparency and transaction efficiency, but also opens up new opportunities for investors interested in cryptocurrencies and blockchain.
Along with the development of financial products on blockchain, this may be the future mainstream trend of the global investment industry.