The Wall Street Journal first reported on Monday that JPMorgan Chase, a global bank with $4 trillion in assets under management, is launching a tokenized money-market fund on Ethereum, diving deeper into blockchain-based finance amid growing demand from institutional clients.
The fund, called My Onchain Net Yield Fund (MONI), has received $100 million from the bank’s asset management division and is set to open to external, qualified investors this week, the report said.
The global bank joins a wave of high-profile financial giants launching tokenized funds on blockchain, with money-market funds leading the way. Franklin Templeton was one of the first traditional finance firms with its BENJI fund in 2021. Then, BlackRock launched its BUIDL fund with token specialist Securitize in 2024, which has attracted $2 billion in assets so far, according to RWA.xyz data.
These vehicles allow investors to park idle cash on the blockchain to earn profits – just like with money market funds, but with faster settlement times, round-the-clock trading and real-time visibility into ownership. Increasingly, they are also used as reserve assets for decentralized finance (DeFi) protocols and as collateral in trading and asset management.
RWA.xyz data shows the asset class has grown from $3 billion to $9 billion in a year. BCG and Ripple said in a report that the broader tokenized asset market is projected to grow to $18.9 trillion by 2033.
“There is tremendous interest from clients around tokenization,” John Donohue, head of global liquidity at JPMorgan Asset Management, told the WSJ.
JPMorgan built MONY on Kinexys Digital Assets, the bank’s in-house tokenization platform. The product will likely serve as a test case for expanding the bank’s range of onchain offerings.
“We look forward to being a leader in this area and working with clients to ensure we have a product lineup that allows them to have the options we have in traditional money-market funds on the blockchain,” Donohue said.
Like traditional money-market funds, MONY is designed to hold short-term debt instruments and pays interest daily. Investors can redeem shares using cash or Circle’s USDC stablecoin. The fund will be accessible to qualified investors with a minimum investment of $1 million.
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