The tokenisation of money market funds (MMFs) is quietly reshaping the architecture of collateral management – and investment professionals would be wise to pay attention. As Funds Europe recently explored, this evolution is not just a technical upgrade; it’s a strategic inflection point.
In a special report about the tokenisation of MMFs, Funds Europe speaks with expert practitioners from firms including Northern Trust, State Street Global Advisors, eToro and Fireblocks about this developing market.
MMFs have long served as institutional liquidity anchors, prized for their stability and short duration. Yet their role in collateral workflows has remained indirect – until now.
Tokenisation, the process of converting fund ownership into blockchain-based digital assets, is enabling MMFs to be posted directly as collateral. This innovation could streamline margining, repo, and securities lending operations while reducing systemic liquidity stress.
*The Funds Europe special report, Tokenised Money Market Funds features and expert panel discussion and interviews with practitioners in the funds industry. The full report, produced in association with Calastone, is available here.
