Franklin Templeton Launches Hong Kong’s First Tokenized Money-Market Fund
Franklin Templeton Investments has introduced the Franklin OnChain US Government Money Fund, marking Hong Kong's inaugural tokenized money-market fund. The fund, registered in Luxembourg and backed by short-term US Treasuries, leverages blockchain technology to issue tokens representing investor shares and maintain digital ownership records.
This initiative aligns with Hong Kong's five-year fintech strategy, which emphasizes the integration of AI and blockchain in finance. The launch also represents the first tangible outcome of the Hong Kong Monetary Authority's "Fintech 2030" plan, unveiled by Chief Executive Eddie Yue Wai-man this week.
The "Fintech 2030" program outlines over 40 measures to advance AI adoption, establish a tokenization framework, and bolster financial sector resilience. Yue confirmed the HKMA is developing a settlement system for tokenized deposits, potentially incorporating a central bank digital currency for interbank transactions.