Franklin Templeton's OnChain U.S. Government Money Fund, which uses Stellar blockchain for record-keeping, now has over $290 million in assets under management. The firm is exploring blockchain's potential to transform capital markets through tokenization and smart contracts.
Franklin Templeton's OnChain U.S. Government Money Fund (FOBXX) has grown to over $290 million in assets under management as of May 31, using the Stellar blockchain for transaction record-keeping since two years ago. The fund, represented by BENJI tokens accessible through the Benji Investments app, is now also supported on Polygon. Roger Bayston, head of digital assets at Franklin Templeton, told Blockworks the company is working with the SEC to unlock blockchain-enabled features for mutual funds including efficiency gains and lower fees. Bayston highlighted blockchain's transformational potential for capital markets, particularly through smart contracts that could enable loan-level securitization rather than traditional pooling structures. The firm is also exploring NFT use cases and sees tokenization as a key opportunity for the financial industry.
