- MONY makes J.P. Morgan the first GSIB to offer a public blockchain money market fund.
- Investors can subscribe, redeem, and hold fund tokens using cash or stablecoins.
- The fund combines U.S. Treasury safety with blockchain-enabled transparency and efficiency.
J.P. Morgan Asset Management has introduced its first digital money market fund, called My OnChain Net Yield Fund (MONY), on the Ethereum blockchain. The fund lets qualified investors earn U.S. dollar returns through digital tokens, combining traditional investing with blockchain technology.
As per the press release, MONY is available through the Morgan Money® platform and uses Kinexys Digital Assets to put traditional investments on multiple blockchains. This setup allows investors to buy, sell, and hold fund tokens while still being backed by safe U.S. Treasury securities.
By doing this, J.P. Morgan becomes the first major global bank to offer a money market fund directly on a public blockchain. The tokenized structure adds more transparency, makes peer-to-peer transfers possible, and could allow these tokens to be used in other blockchain-based financial activities.
Consequently, the fund offers daily dividend reinvestment, and subscriptions can occur via cash or stablecoins, further bridging conventional finance and crypto ecosystems.
Tokenization Meets Traditional Finance
MONY reflects the financial sector’s shift toward integrating tokenized assets. John Donohue, Head of Global Liquidity at J.P. Morgan Asset Management, said, “With Morgan Money, tokenization can fundamentally change the speed and efficiency of transactions, adding new capabilities to traditional products.”
Moreover, the fund’s structure emphasizes safety, investing solely in U.S. Treasuries and repurchase agreements fully collateralized by Treasuries. This ensures that token holders earn predictable yields while benefiting from blockchain-enabled flexibility.
George Gatch, CEO of J.P. Morgan Asset Management, explained, “Active management and innovation are at the heart of how we deliver new solutions for investors navigating today’s financial landscape.”
Hence, MONY combines J.P. Morgan’s expertise with technology-driven investment efficiency, highlighting a growing trend among major banks to explore tokenized financial products.
