JPMorgan Chase has joined the ranks of established financial institutions looking to use blockchain technology to an investment staple: the money-market fund.
The banking giant’s $4 trillion asset management department is launching its first tokenized money fund, allowing investors to hold digital tokens representing their stake in the fund. Crypto CEOs claim that tokenized assets like as equities and funds may be transferred more effectively and traded at any moment.
On Tuesday, JPMorgan will open the fund to other investors after seeding it with $100 million of its own money.
Qualified investors, or individuals with at least $5 million in investments and institutions with at least $25 million, will be able to participate in My OnChain Net Yield Fund, also known as “MONY.” The fund requires a minimum commitment of $1 million.
The bank will utilize the Ethereum blockchain to track investors’ MONY transactions.
Since the Genius Act was passed earlier this year, Wall Street has delved further into tokenization. A rush of attempts to tokenize everything from bonds and stocks to funds and real assets has been sparked by the historic legislation, which creates a regulatory framework for tokenized dollars known as stablecoins.
“Clients are very interested in tokenization,” stated John Donohue, J.P. Morgan Asset Management’s head of global liquidity. “And we hope to be a leader in this field and collaborate with customers to ensure that our product lineup gives them the same options as traditional money-market funds on blockchain.”
The bank’s Morgan Money portal, a money-market investment tool, allows investors to sign up for the MONY fund. They will receive digital tokens in their cryptocurrency wallets in exchange.
JPMorgan’s MONY, like the majority of money-market funds, keeps baskets of somewhat secure short-term debt instruments that often pay higher returns than bank deposits. Every day, it accumulates dividends and pays interest. Cash or USDC, the stablecoin issued by the Circle Internet Group, can be used by investors to subscribe for and redeem shares.
A mainstay of investing since the 1970s, money-market funds have seen an increase in popularity in recent years. The Investment Company Institute estimates that money fund assets have increased from $6.9 trillion at the beginning of 2025 to around $7.7 trillion. In the meantime, CoinGecko reports that the market valuation of all stablecoins has increased to almost $300 billion.
Because they enable holders to receive a dividend while their assets stay fully on the blockchain, tokenized money-market funds have grown in popularity among cryptocurrency investors. This resolves an earlier problem in which investors usually kept substantial sums of idle money in stablecoins, which often do not transfer interest income to holders.
Tokenization can assist fund managers save money and time when settling transactions. Some tokenized money-market funds are accepted as collateral on a few cryptocurrency exchanges. Proponents argue that such solutions can assist traditional asset managers acquire new clients in the digital assets market.
JPMorgan’s foray into tokenization is the latest in a rising trend started by many prominent asset managers, including BlackRock, which manages the largest tokenized money-market fund with over $1.8 billion in assets.
Goldman Sachs and Bank of New York Mellon said in July that they will collaborate to provide digital tokens that grant ownership in money-market funds run by some of the largest investment firms, such as BlackRock and Fidelity Investments, in addition to their own asset-management divisions.
JPMorgan has tokenized a private equity fund on its blockchain platform for rich clients of its private bank. Earlier this year, businesses including as Robinhood, Kraken, and Gemini introduced tokenized equities and exchange-traded funds for non-US investors.
