Ethereum News: Fidelity Launches Tokenized US Treasury Fund on Ethereum, OnChain

Fidelity Investments has made a significant move into the blockchain space by filing to register a tokenized version of its US dollar money market fund on Ethereum. Named OnChain, this initiative promises enhanced transparency and verifiable tracking of share transactions for investors.

Fidelity Files for OnChain US Treasury Fund

Fidelity Investments has filed to register a tokenized version of its US dollar money market fund on Ethereum. Named “OnChain,” this blockchain initiative will enable tracking transactions of the Fidelity Treasury Digital Fund (FYHXX), an $80 million fund primarily invested in US Treasury bills. If approved, OnChain will take effect on 30 May, providing investors with enhanced transparency and verifiable tracking of share transactions. Fidelity will continue to maintain traditional book-entry records as the official ownership ledger.

Ethereum Surges Past $2,000—Will It Break $2,150 Next?

Following weeks of intense bearish pressure, Ethereum has surged past the psychologically significant $2,000 threshold, currently trading around $2,032. This rebound suggests a potential trend shift. A crypto analyst mentioned that Ethereum needs to reclaim $2,150 as a critical resistance level. Breaking this could drive prices to $2,800. Institutional ETH holdings rose from 70,000 to 75,000 wallets in March. VanEck forecasts Ethereum to reach $6,000 in 2025 amid bullish market expectations.

Fidelity Joins Tokenization Race with Blockchain-Based U.S. Treasury Fund

Fidelity Investments plans to tokenize its U.S. dollar money market fund, the Fidelity Treasury Digital Fund (FYHXX), by creating a blockchain-based version. The fund, which consists almost entirely of US Treasury bills, will operate on the Ethereum (ETH) network. This move aims to tap into the rapidly growing tokenized asset market and use blockchain for more efficient transfers.

Coinbase Legal Chief Criticizes U.S. Treasury’s Attempt to Dismiss Tornado Cash Suit

Coinbase’s chief legal officer, Paul Grewal, has criticized the U.S. Treasury for trying to dismiss the Tornado Cash lawsuit by claiming the case is now moot. On Mar. 21, the U.S. Department of the Treasury officially removed Tornado Cash and several associated smart contract addresses from its sanctions list, reversing the August 2022 sanctions imposed by the Office of Foreign Assets Control. Regulators had accused the platform of facilitating money laundering activities, including transactions linked to North Korea’s Lazarus Group. The move followed a November 2024 ruling by a federal appeals court, which found the Treasury had overstepped its authority in sanctioning the crypto mixer’s Immutable smart contracts.