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News

Franklin Templeton Tokenized Fund Now Launched on Avalanche

August 22, 2024 - Around 2 mins mins to read

Key Points:

  • Franklin Templeton’s OnChain U.S. Government Money Market Fund (FOBXX) now supports Avalanche alongside Stellar and Polygon.
  • The Franklin Templeton tokenized fund, valued at $420 million, is also available on Arbitrum to connect traditional and decentralized finance.
Franklin Templeton has expanded the OnChain U.S. Government Money Market Fund (FOBXX) to the Avalanche blockchain.
Franklin Templeton Tokenized Fund Now Launched on Avalanche

Read more: New Grayscale Avalanche Trust Launched for AVAX Investors

Franklin Templeton Tokenized Fund Expands to Avalanche

Launched in 2021, FOBXX was the first U.S. registered mutual fund to leverage a public blockchain for recording transactions and managing ownership. The fund initially used the Stellar network but frequently utilized Polygon. Avalanche is part of its effort to be more accessible.

The Franklin Templeton tokenized fund provides institutional investors with a blockchain-integrated record-keeping system through the Benji Investments, a proprietary platform of Franklin Templeton.

FOBXX has a current market capitalization of $420 million and focuses its investments on low-risk U.S. government securities and repurchase agreements that are fully collateralized in government securities or cash. Of course, the diversified ETF will gain the 24/7 trading flexibility and peer-to-peer transactions characteristic of blockchain technologies.

Franklin Templeton Expands Ties With Digital Assets

The move toward Avalanche builds on Franklin Templeton‘s existing investment in digital assets and follows in the firm’s footsteps after building its blockchain approach in 2018. Previously, the Franklin Templeton tokenized fund was even associated with traditional finance by expanding the coverage of the fund to Arbitrum. Users on the Arbitrum network can now purchase and hold tokenized shares in FOBXX to return risk-free funds.

In other news, Franklin Templeton filed a registration statement with the U.S. Securities and Exchange Commission on August 16 to launch the new Franklin Crypto Index ETF. This ETF is designed to provide a comprehensive crypto portfolio and will follow the CF Institutional Digital Asset Index.

DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.

Avalanche

Benji Investments

FOBXX

Franklin Templeton

Franklin Templeton Tokenized Fund

Author

Harold

With a passion for untangling the complexities of the financial world, I've spent over four years in financial journalism, covering everything from traditional equities to the cutting edge of venture capital. "The financial markets are a fascinating puzzle," I often say, "and I love helping people make sense of them." That's what drives me to bring clear and insightful financial journalism to the readers of Coincu.