Swiss bank UBS has announced the launch of a new Ethereum-based investment fund called “UBS USD Money Market” (uMINT), in response to the growing demand from investors for digital financial assets.
The fund provides advanced cash management solutions to institutional investors, and is based on high-quality money market instruments in a prudently managed risk environment, the bank said in a statement.
UBS's strategy in the crypto market:
This initiative comes within the framework of UBS’s broader strategy to leverage blockchain technology (DLT) in issuing and distributing funds across public and private blockchain networks.
Thomas Kaegi, co-head of UBS APAC, said interest in digital assets is growing among investors across multiple categories, and the bank is looking to provide innovative solutions to meet the needs of institutional clients through this fund.
This fund is part of the UBS Tokenize initiative, which seeks to expand into the digital asset market.
Earlier this year, UBS ran a pilot project for a tokenized variable capital company (VCC) fund under the Guardian project in Singapore, and in June 2023 issued digital bonds worth 200 million Chinese yuan.
In November 2023, the bank completed the first cross-border repo transaction using a digital bond on a public blockchain network.
As for the price of Ethereum, it was not affected much by the news and followed the movement of the price of Bitcoin, as it fell below the $2,500 level.
