JPMorgan, one of the world’s largest banks, is launching its first tokenized money market fund on the public Ethereum blockchain. The new fund, called My OnChain Net Yield Fund (MONY), represents a significant step in connecting traditional finance with the on-chain environment and confirms growing institutional interest in tokenized assets.
MONY tokenized fund
The MONY fund was launched through the Kinexys Digital Assets platform, JPMorgan’s proprietary tokenization solution. It operates as a private fund under Rule 506(c) and is intended for qualified investors who can access it through the Morgan Money institutional platform. The fund is directly accessible on the public Ethereum blockchain and allows investors to earn returns in US dollars.
With this move, JPMorgan has become the largest globally systemically important bank to launch a tokenized money market fund on a public blockchain. According to the bank, tokenization brings greater transparency, the possibility of peer-to-peer transfers, and the potential to use tokens as collateral within the blockchain ecosystem. Investors can also receive tokens directly to their blockchain addresses.
Bonds, liquidity, and on-chain access for institutional investors
The fund invests exclusively in U.S. government bonds and repo transactions fully secured by these bonds. The product includes daily dividend reinvestment and the option of cash or stablecoin entries and exits. The Morgan Money platform, which has been in operation since 2019, provides investors with real-time visibility and efficient liquidity management.
The launch of MONY follows other JPMorgan activities in the area of tokenization. Including recent on-chain transactions and debt issuances on public blockchains. The project confirms that tokenization is becoming part of the mainstream financial system. And that public blockchains are capable of meeting strict institutional and regulatory requirements. Traditional finance is thus gradually moving on-chain, setting a precedent for the future development of financial infrastructure.
