Tokenised Money Market Funds: A New Frontier in Collateral Efficiency
The tokenisation of money market funds (MMFs) is reshaping the architecture of collateral management, and investment professionals should take notice.
MMFs have long been valued for their stability and short duration, serving as institutional liquidity anchors. However, their role in collateral workflows has been indirect, until now.
Tokenisation, the process of converting fund ownership into blockchain-based digital assets, is enabling MMFs to be posted directly as collateral.
Tokenisation is a strategic inflection point, not just a technical upgrade.
Experts from firms such as Northern Trust, State Street Global Advisors, eToro, and Fireblocks share their insights on this developing market in a special report by Funds Europe.
Author's summary: Tokenisation of MMFs improves collateral efficiency.