JPMorgan Chase & Co. is expanding its embrace of blockchain technology with the launch of a tokenized money-market fund on the Ethereum blockchain, marking one of the biggest moves by a traditional financial institution into public decentralized finance infrastructure. The fund — named the My OnChain Net Yield Fund (MONY) — has been seeded with $100 million of the bank’s own capital and is expected to open to qualified investors this week.
The announcement, first reported by the Wall Street Journal and reflected in multiple financial news sources, shows JPMorgan adopting emerging tokenization trends that convert traditional financial products into blockchain-native assets, promising increased efficiency, transparency and accessibility for institutional investors.
What the tokenized fund is and how it works
MONY will operate on Ethereum, using smart contracts to represent shares of a money-market fund — a traditional low-risk investment vehicle — as digital tokens. Investors subscribing to the fund can receive these tokens in exchange for cash or stablecoin (such as USDC), potentially earning daily interest while retaining assets on-chain.
Unlike typical blockchain experiments, this launch comes from the asset-management arm of a major U.S. bank — underscoring how Wall Street is increasingly integrating public blockchain infrastructure with conventional financial products. The fund is initially available only to qualified investors meeting high minimum investment thresholds.
Why it matters — tokenization and institutional finance
Tokenization involves representing real-world assets (RWAs) — such as funds, debt instruments or securities — on distributed ledgers, which can offer 24/7 settlement, reduced processing costs and programmable compliance. JPMorgan’s move builds on industry momentum: other institutions and asset managers, including Amundi and BlackRock, have also introduced tokenized investment products on Ethereum this year.
The choice of Ethereum highlights its continued role as a leading public blockchain for real-world asset tokenization, even as private networks and permissioned solutions gain traction among financial incumbents.
Regulatory and market context
While the regulatory landscape for tokenized securities and funds is still evolving, recent frameworks such as the U.S. GENIUS Act — which clarified stablecoin protocols and tokenization principles — have helped spur institutional interest in on-chain financial products. JPMorgan’s tokenized fund enters the market at a time when regulators and asset managers are increasingly exploring how blockchain can modernize traditional finance while managing compliance and risk.
Institutional adoption of tokenized financial products could reshape how assets like money-market funds, treasuries and corporate debt are traded and settled, potentially narrowing the gap between conventional markets and decentralized finance ecosystems.
What’s next
- Investor access: Qualified institutional investors will begin subscribing to MONY this week, with details on timing and subscription processes expected from JPMorgan.
- Blockchain adoption: Continued expansion of tokenized product offerings by major banks and asset managers could boost institutional confidence in public blockchains.
- Regulatory evolution: Watch for further guidance from U.S. and international regulators on digital asset frameworks affecting tokenized funds.
Reporting note: This article synthesizes reporting from multiple news outlets, including Reuters and Investing.com, on JPMorgan’s launch of its tokenized money-market fund and the broader context of institutional tokenization on public blockchain networks.
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