JP Morgan Asset Management has launched its first tokenized money market fund on the public Ethereum blockchain. The “My OnChain Net Yield Fund” (MONY) starts with initial capital of USD 100 million, marking a significant step in institutional blockchain adoption.
As the world’s largest global systemically important bank (GSIB), JP Morgan is the first institution in this category to offer a tokenized money market fund on a public blockchain. The fund is available to qualified investors with a minimum investment of USD 1 million. Subscriptions and redemptions can be made in both US dollars and USDC, the stablecoin issued by Circle. MONY invests exclusively in US Treasuries and repurchase agreements fully collateralized by US Treasury securities.
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Kinexys platform as the technological foundation
For MONY, JP Morgan uses its proprietary tokenization platform Kinexys Digital Assets, which emerged in November 2024 from the rebranding of the Onyx unit . Since its launch, the platform has processed transactions worth more than USD 1.5 trillion. In addition, it handles over USD 2 billion in daily transaction volume.
The fund is structured as a 506(c) private placement. It is offered via Morgan Money, the bank’s open trading and analytics platform for liquidity management. Qualified investors must demonstrate at least USD 5 million in investments, while institutional investors are required to have a minimum of USD 25 million. Daily dividend reinvestment is automated, while transparency is ensured through the public blockchain infrastructure.
Competition for tokenized Treasury products intensifies
The launch of MONY positions JP Morgan in direct competition with established players in the market for tokenized money market funds. Currently, BlackRock operates the largest tokenized Treasury product with its BUIDL fund, managing assets of USD 2.5 billion. Goldman Sachs and BNY Mellon announced a joint initiative in July 2025, involving leading asset managers such as BlackRock, Fidelity, and Federated Hermes.
The overall market for tokenized Treasury and money market funds reached a volume of USD 7.4 billion in 2025, representing an 80 percent increase over the year. Nevertheless, this remains marginal compared with the global money market fund volume of USD 10 trillion. A study by Boston Consulting Group, Aptos Labs, and Invesco forecasts strong growth, projecting that tokenized funds could reach a 1 percent market share by 2030, equivalent to more than USD 600 billion.
Regulatory support as a catalyst
JP Morgan’s expansion into tokenized products takes place against the backdrop of improved regulatory conditions. The GENIUS Act, passed in early 2025, establishes comprehensive regulations for stablecoins for the first time, reducing legal uncertainty for institutional participants.
At the end of 2025, the Commodity Futures Trading Commission (CFTC) recommended recognizing tokenized money market funds as eligible collateral. Acting Chair Caroline Pham launched a dedicated initiative to promote the adoption of tokenized collateral solutions. Despite this progress, 41 percent of all tokenized money market funds remain inaccessible to US investors due to regulatory uncertainty.
JP Morgan has already demonstrated the practical applicability of its blockchain infrastructure on multiple occasions. The bank has executed intraday repo transactions using tokenized collateral. At the same time, BlackRock’s BUIDL fund is accepted as collateral by crypto exchanges such as Binance and OKX. In addition, Lloyds Banking Group and Aberdeen Investments have used tokenized money market funds for the settlement of foreign exchange derivatives.
Outlook on institutional blockchain integration
The launch of MONY underscores the growing acceptance of public blockchains by traditional financial institutions. In contrast to earlier experiments on private ledgers, JP Morgan is deliberately using Ethereum as a settlement layer, maximizing transparency and interoperability. Support for USDC redemptions also signals increasing confidence in regulated stablecoins as settlement infrastructure.
For the institutional ecosystem, the peer-to-peer transferability of tokenized fund units opens up new efficiency gains. Investors can transfer positions without prior liquidation into cash, simplifying their use as collateral for trading activities and margin requirements. Blockchain-based settlement also reduces settlement failures and enables near-instantaneous transfers of ownership.
