JPMorgan Bets $100M on Ethereum: Launches Tokenized Money-Market Fund in Major Wall Street Crypto Move

Wall Street's crypto pivot just got a $100 million exclamation point.

JPMorgan is planting its flag on the Ethereum blockchain, launching a tokenized version of its money-market fund. This isn't a pilot or a proof-of-concept—it's a live, capital-backed move that signals a fundamental shift in how traditional finance views digital asset infrastructure.

The Mechanics: From Ledgers to Liquidity

The bank is using blockchain to create digital tokens that represent shares in a fund. These tokens live on Ethereum, a public network, allowing for near-instant settlement and 24/7 transferability. It bypasses the legacy plumbing of traditional finance—the slow-moving custodians, transfer agents, and clearinghouses that add friction and cost.

Why This Cuts Through the Noise

Forget the speculative crypto assets. This is about digitizing the bedrock of finance itself. Money-market funds are the multi-trillion-dollar parking lots for corporate cash, prized for stability and liquidity. Tokenizing them doesn't just add a tech veneer; it re-engineers the underlying process, promising to unlock capital trapped in settlement cycles and operational delays.

A Provocative Step, Not Without Skepticism

The move is a stark validation of public blockchain utility from one of finance's most conservative titans. It suggests that the efficiency gains and new product possibilities now outweigh perceived regulatory and technological risks. Of course, watching a bank famed for its risk management embrace the same network that hosts meme coins and DeFi 'yield farms' adds a layer of delicious irony to the whole affair—a cynical jab at the industry's ongoing identity crisis.

This isn't just JPMorgan dipping a toe in the water. It's a cannonball into the deep end, with $100 million in seed capital proving the thesis. The race to rebuild finance on-chain just found its most formidable anchor tenant.

JPMorgan Brings Money Markets Onchain

According to the WSJ report the private fund, called the My OnChain Net Yield Fund — or “MONY” — is built on JPMorgan’s in-house tokenization platform, Kinexys Digital Assets.

It will be available to qualified investors, defined as individuals with at least $5 million in investable assets and institutions with a minimum of $25 million. The minimum investment size is set at $1 million.

Tokenization Gains Momentum After GENIUS Act

The launch comes during a rise in momentum for tokenized financial products following the passage of the GENIUS Act earlier this year. The legislation established a US regulatory framework for dollar-backed stablecoins, helping to remove uncertainty around onchain settlement and digital representations of traditional assets.

Since then, Wall Street firms have accelerated efforts to tokenize everything from equities and bonds to real-world assets, viewing blockchain as a way to improve operational efficiency, reduce settlement times and expand investor access.

“There is a massive amount of interest from clients around tokenization,” said John Donohue, head of global liquidity at J.P. Morgan Asset Management told the WSJ.

“And we expect to be a leader in this space and work with clients to make sure that we have a product lineup that allows them to have the choices that we have in traditional money-market funds on blockchain,” adds Donohue.

How the MONY Fund Works

Investors can subscribe to the MONY fund through JPMorgan’s Morgan Money portal, the bank’s digital money-market investing platform. In return, investors receive digital tokens representing their fund shares, which are held in their crypto wallets.

Like traditional money-market funds, MONY invests in baskets of short-term, high-quality debt instruments. The fund accrues dividends daily and pays interest designed to track prevailing money-market yields, which have remained attractive amid a higher interest rate environment.

Stablecoins and Institutional Adoption

Subscriptions and redemptions can be made using either cash or USDC, the dollar-pegged stablecoin issued by Circle Internet Group. Allowing USDC settlement highlights how regulated financial products are increasingly incorporating crypto-native payment rails.

JPMorgan’s MOVE builds on its broader blockchain strategy, which includes tokenized deposits, onchain settlement and wholesale payment infrastructure. While MONY is limited to institutional and high-net-worth investors, it signals a broader shift toward integrating blockchain into core financial products once considered far removed from crypto.