Goldman Sachs, BNY introduce money market fund digital tokens

Goldman Sachs And Bank of New York Melon It is ready to announce that they have created the ability to buy token money market funds for institutional investors, CNBC has learned.

BNY customers will be able to invest in the world’s largest custody bank, money market fund, whose ownership will be recorded on the blockchain platform of Goldman, according to officials of both firms.

The project has already signed up with funds Titans black Rock, Loyalty investment And Federed hemiesAlso Goldman and Asset Management Arms of BNY.

Wall Street veterans believe that token to $ 7.1 trillion money market industry is the next jump for digital assets after the President. Donald Trump Last week, a law was signed, marking the arrival of US-Regulated Stabecrim. Genius Act expected To promote the popularity and use of stablecoins, which are usually judged in US dollars, and JPMorgan ChaseCitygroup and Bank of America Said they are Search for their use In payment.

But unlike StableCoins, the money market funds paid a produce to the owners, making it an attractive place for hedge funds, pension and corporations, so that they could park their cash.

“We have made the ability to invest in token money market share classes for our customers in many fund companies,” Lid MajiagbeBNY’s global major liquidity, financing and collateral. “The move of tokens is important, because today will enable spontaneous and efficient transactions, without friction in traditional markets.”

Banks see it as establishing a foundation for the future in which the money market funds are always traded on the digital ecosystem in real time. But token of the asset class provides new abilities to the funds easily in speed and use; According to BNY and Goldman, digitized funds may eventually be transferable between funds without funds in cash among financial mediators.

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