JPMorgan Launches First Tokenized Money Market Fund

JPMorgan Chase launched its first tokenized money market fund on Monday, marking a significant step by the Wall Street giant into blockchain-based finance. The fund, named My OnChain Net Yield Fund or MONY, is built on the Ethereum blockchain and seeded with $100 million from the bank's asset management division, which oversees about $4 trillion in assets. It opens to qualified external investors this week, targeting institutions and high-net-worth individuals seeking efficient ways to manage idle cash.

The private fund operates through JPMorgan's in-house Kinexys Digital Assets platform and is accessible via the bank's Morgan Money digital investing portal. Investors meeting eligibility criteria—individuals with at least $5 million in investable assets and institutions with a minimum of $25 million—can subscribe with a $1 million entry point. In exchange, they receive digital tokens representing ownership, held in crypto wallets. Like traditional money market funds, MONY invests in short-term, high-quality debt instruments and accrues daily dividends to track prevailing yields, which remain elevated in the current interest rate environment. Subscriptions and redemptions can be...