JPMorgan Launches Its First Tokenized Money Market Fund On Ethereum

Authored by Helen Partz via CoinTelegraph.com,

JPMorgan, one of the world’s biggest banks, is advancing its presence in tokenized finance by launching its first money market fund through its $4 trillion asset management arm.

The fund, My OnChain Net Yield Fund, will trade under the ticker MONY and is available on the public Ethereum blockchain, JPMorgan said in an announcement shared with Cointelegraph on Monday.

Launched via Kinexys Digital Assets, JPMorgan’s proprietary tokenization platform, MONY is a 506(c) private placement fund providing qualified investors the opportunity to earn US dollar yields by subscribing through its institutional trading platform, Morgan Money.

“With Morgan Money, tokenization can fundamentally change the speed and efficiency of transactions, adding new capabilities to traditional products,” said John Donohue, head of global liquidity at J.P. Morgan Asset Management.

MONY investors can receive tokens at their blockchain addresses

By launching MONY, JPMorgan has become the largest global systemically important bank to introduce a tokenized money market fund (MMF) on a public blockchain, the bank said in the announcement.

The fund’s tokenization provides increased transparency, peer-to-peer transferability and the potential for broader collateral usage within the blockchain ecosystem, it said.

J.P. Morgan Asset Management’s My OnChain Net Yield Fund (MONY) is issued through Kinexys Digital Assets and is available to investors via Morgan Money. Source: JPMorgan

“This marks a significant step forward in how assets will be traded in the future,” Donohue said, highlighting the role of Morgan Money, where qualified investors can access the fund and receive tokens at their blockchain addresses.

Launched in 2019, Morgan Money provides a real-time investment dashboard and a single access point for operations, allowing investors to build stronger liquidity strategies.

“Morgan Money is the first institutional liquidity trading platform to integrate traditional and on-chain assets offering investors access to a full-range of money market products,” JPMorgan said.

Subscriptions and redemption in cash or stablecoins

According to the announcement, MONY will invest only in traditional US Treasury securities and repurchase agreements fully collateralized by US Treasury securities, allowing qualified investors to earn yield while holding the token on the blockchain.

It also offers daily dividend reinvestment, enabling investors to subscribe and redeem using cash or stablecoins through the Morgan Money platform.

Cointelegraph asked JPMorgan which stablecoins would be supported within the offering, but had not received a response at the time of publication.

JPMorgan’s MONY launch marks another milestone in the race among traditional financial institutions to introduce regulated tokenized products. The news came weeks after the company initiated the first transaction via its forthcoming fund tokenization platform, Kinexys Fund Flow, which is expected to roll out in 2026.

On Thursday, JPMorgan also announced the issuance of a US commercial paper for Galaxy Digital Holdings on the Solana blockchain, marking one of the earliest debt issuances ever executed on a public blockchain.