Asset manager Franklin Templeton has partnered with Sui to develop new blockchain technologies and use cases on the layer-1 network, Sui said on Nov. 22.
The partnership will prioritize “supporting Sui ecosystem builders and deploying novel technologies leveraging the Sui blockchain protocol,” Sui said.
Franklin Templeton has aggressively expanded its tokenized security products to new blockchain networks, including Ethereum layer-2s Arbitrum and Base.
Sui is a decentralized layer-1 blockchain designed for rapid smart contract deployment. It is often dubbed a Solana (SOL) killer, because of its focus on low-latency applications.
RWA value by segment. Source: RWA.xyz
In 2024, asset manager Grayscale launched Grayscale SUI Trust, an investment fund focused on Sui’s native SUI token. Multiple stablecoins, including USD Coin (USDC), also launched on Sui.
On Nov. 21, the Sui blockchain went down with no blocks being produced for more than an hour.
Tokenized real-world assets (RWAs) — including tokenized claims on financial assets, commodities, or art — already command upward of $12 billion in total value locked (TVL), according to RWA.xyz.
They represent a $30-trillion market opportunity globally, Colin Butler, Polygon’s global head of institutional capital, told Cointelegraph in August.
Franklin Templeton launched its flagship tokenized money market fund — Franklin OnChain US Government Money Fund (FOBXX) — in 2021, initially on the Stellar blockchain.
Since then, FOBXX has drawn nearly $400 million in assets under management (AUM).
FOBXX’s top rival is BlackRock USD Institutional Digital Liquidity Fund, with assets under management of approximately $530 million, according to data from RWA.xyz.
Franklin Templeton is unique among tokenized fund managers in outsourcing a meaningful portion of reporting requirements — such as share ownership records typically handled by an offchain transfer agent — to blockchain networks’ public ledgers.
“We are currently the only product with the ability to use public distributed ledger technologies for official transaction record-keeping,” Roger Bayston, Franklin Templeton’s head of digital assets, told Cointelegraph in July.
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