Key Points
* UBS, the world’s largest private bank, has launched uMINT, a tokenized USD money market investment fund on the Ethereum blockchain, marking a significant move by a major financial institution into digital assets.
* The launch comes amid growing momentum in real-world asset (RWA) tokenization on Ethereum, which currently hosts over $3 billion in tokenized assets, with U.S. Treasury Debt being the largest category.
UBS has made a strategic entry into the digital asset space with the announcement of uMINT (UBS USD Money Market Investment Fund Token), a tokenized investment fund built on the Ethereum blockchain. The fund aims to provide investors access to high-quality money market instruments while leveraging blockchain technology for enhanced efficiency and accessibility.
Growing Market for Tokenized Assets
The launch aligns with a broader trend in the financial industry, where tokenized assets on Ethereum have seen significant growth, increasing by nearly 4% in the past 30 days. Thomas Kaegi, co-head of UBS’s Asian arm, noted the “growing investor appetite for tokenized financial assets across asset classes,” reflecting the increasing institutional interest in blockchain-based financial products.
Competitive Landscape
UBS joins other major financial institutions in the tokenized asset space, where notable players include:
– BlackRock’s $BUIDL: Currently leads the market for tokenized U.S. Treasuries with over $523 million in market cap
– Franklin Templeton’s $FOBXX: On-Chain U.S. Government Money Fund holds approximately $408 million in market cap
The total value of tokenized assets on Ethereum now exceeds $3.9 billion, excluding private credit, with U.S. Treasury Debt representing the largest segment according to RWA.xyz dashboard data.
