Financial conglomerate JPMorgan launched its first tokenized money market fund on the Ethereum blockchain, aimed at professional investors.
J.P. Morgan Asset Management, JPMorgan’s asset management arm focused on institutional investors, officially introduced the tokenized private money market fund My OnChain Net Yield Fund (MONY), deployed on Ethereum. The new product is structured as a closed-end investment fund and is available exclusively to qualified investors in compliance with U.S. regulatory requirements.
Subscriptions to the fund are made via the Morgan Money platform, with investors receiving tokens directly to their blockchain addresses. The fund invests solely in U.S. Treasuries as well as reverse repo transactions fully collateralized by these instruments.
The launch of MONY was implemented through Kinexys Digital Assets, JPMorgan’s multi-chain platform for asset tokenization. At the same time, Morgan Money became the first institutional liquidity management system to combine traditional financial instruments and on-chain assets within a single interface.
The tokenized structure allows investors to earn returns in U.S. dollars while holding the asset on the blockchain. The fund provides for daily dividend reinvestment, and subscriptions and redemptions can be carried out either in cash or using stablecoins.
George Gatch, CEO of J.P. Morgan Asset Management, noted that active management and technological innovation are at the core of the company’s strategy, enabling it to offer investors more efficient and technologically advanced solutions. According to him, the use of blockchain technology combined with the firm’s asset management expertise opens up new opportunities to achieve clients’ investment objectives.
John Donohue, Head of Global Liquidity at J.P. Morgan Asset Management, emphasized that JPMorgan expects other systemically important banks to follow this example. He pointed out that tokenization significantly accelerates and simplifies money market fund operations, adds new functionality to traditional products, and is set to reshape the way financial assets are traded in the future.
MONY is the first tokenized money market fund launched on a public blockchain by the largest global systemically important bank (GSIB). According to JPMorgan, tokenization increases transparency, enables direct P2P transfers, and expands the potential use of such assets as collateral within blockchain infrastructure.
JPMorgan is actively testing blockchain technologies in the context of interbank transfers, corporate dollar settlements, and the tokenization of dollar deposits.
