- The fund has $100 million in seed capital and requires a $1 million minimum investment.
- Tokenized money market funds offer faster settlement, around-the-clock trading, and on-chain ownership transparency.
- The tokenized money market sector has grown to roughly $9 billion in assets over the past year.
JPMorgan Chase is preparing to deepen its push into blockchain-based finance with a tokenized money market fund on Ethereum, according to a Wall Street Journal report published Monday.
The bank has not formally announced the product, but the report indicates JPMorgan is moving toward offering on-chain versions of traditional cash management tools as institutional interest in tokenization increases.
The initiative comes as large investors seek more efficient ways to deploy idle cash while staying within regulatory boundaries.
With roughly $4 trillion in assets under management, the reported plans at JPMorgan show how tokenization is moving from experimental pilots to investment products tied to major global balance sheets.
The proposed fund would enter a rapidly growing segment of digital finance where money market products are increasingly viewed as a bridge between traditional markets and blockchain infrastructure.
Deployment of tokenized money market funds
The fund, referred to as My OnChain Net Yield Fund, or MONY, has received $100 million from JPMorgan’s asset management division, the Wall Street Journal reported.
The product is expected to open to external, qualified investors this week, though the bank has not issued an official confirmation.
The minimum investment is set at $1 million, keeping the fund focused on institutional participation rather than retail investors.
MONY is structured to operate similarly to conventional money market funds, holding short-term debt instruments and paying interest daily.
Investors would be able to redeem shares for cash or via Circle’s USDC stablecoin, reflecting the growing use of regulated stablecoins in institutional settlement and liquidity management.
Why Ethereum and tokenization matter
JPMorgan has built the reported fund on Kinexys Digital Assets, its internal tokenization platform, with Ethereum chosen as the underlying blockchain, the Wall Street Journal said.
Tokenized funds record ownership on the payment chain, enabling faster settlement, real-time visibility, and continuous trading beyond standard market hours.
Those features are drawing interest from asset managers, trading firms, and treasury desks seeking operational efficiency while still relying on low-risk instruments.
Tokenized money market funds are also increasingly used within decentralized finance ecosystems as reserve assets and as collateral for trading and asset management.
Competition among financial giants
JPMorgan’s reported plans place it alongside other major financial institutions that have already launched tokenized money market products.
Franklin Templeton introduced its BENJI fund in 2021, becoming one of the first traditional asset managers to adopt blockchain-based fund infrastructure.
BlackRock followed in 2024 with its BUIDL fund, developed with tokenization specialist Securitize, which has since attracted roughly $2 billion in assets, according to industry data.