- The fund is initially capitalized at $100 million and requires a minimum investment of $1 million.
- Tokenized money market funds offer faster settlement, continuous trading, and on-chain ownership transparency.
- The tokenized money market sector has grown to roughly $9 billion over the past year.
JPMorgan Chase is preparing to expand its push into blockchain-based finance by launching a tokenized money market fund on Ethereum, according to a report published Monday by the Wall Street Journal.
The bank has not formally announced the product, but the report indicates JPMorgan is moving toward offering blockchain versions of traditional cash-management tools as institutional interest in tokenization rises.
The initiative comes as large investors look for ways to use idle cash more efficiently while remaining compliant with regulatory requirements.
With roughly $4 trillion in assets under management, JPMorgan’s reported plans highlight how tokenization is evolving from experimental pilots into investable products tied to major global balance sheets.
The proposed fund would enter a fast-growing segment of digital finance where money market instruments are increasingly viewed as a bridge between traditional markets and blockchain infrastructure.
Deployment of Tokenized Money Market Funds
The fund, reportedly called My OnChain Net Yield Fund (MONY), has been seeded with $100 million from JPMorgan’s wealth management division, the Wall Street Journal said.
The product is expected to open to external, qualified investors this week, although the bank has not provided an official confirmation.
The minimum investment is set at $1 million, keeping the fund focused on institutional participation rather than retail investors.
MONY is intended to operate like a traditional money market fund, managing short-term debt instruments and paying interest on a daily basis.
Investors would be able to redeem shares either for cash or via Circle’s USDC stablecoin, reflecting the growing role of regulated stablecoins in institutional settlement and liquidity management.
Why Ethereum and Tokenization Matter
JPMorgan is reportedly building the fund on its Kinexys Digital Assets platform, with Ethereum selected as the underlying blockchain, according to the Wall Street Journal.
Tokenized funds record ownership on-chain, enabling faster settlement, real-time visibility, and around-the-clock trading beyond traditional market hours.
These features are attracting asset managers, trading firms, and treasury teams seeking operational efficiencies while continuing to use low-risk instruments.
Tokenized money market funds are increasingly used within decentralized finance ecosystems as reserve assets, and as collateral for trading and asset management functions.
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, making it one of the earliest 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 RWA.xyz data.