Franklin Templeton introduces peer-to-peer transfers for its $380 million money market fund (FOBXX) through its BENJI token on Stellar and Polygon blockchains. The token, backed by government securities and cash, allows investors to directly transfer funds without intermediaries.
Franklin Templeton Breaks Barriers with Peer-to-Peer Transfers on BENJI Token
In a groundbreaking move, Franklin Templeton has revolutionized the financial landscape by enabling peer-to-peer transfers for its $380 million Franklin OnChain U.S. Government Money Fund (FOBXX) via its BENJI token on the Stellar and Polygon blockchains. This transformative development empowers investors to seamlessly transfer fund shares directly between themselves, eliminating the need for intermediaries.
"By enabling peer-to-peer transfers, Franklin Templeton is demonstrating its commitment to openness, transparency, and accessibility in the financial sector," said Jason Chlipala, chief business officer of the Stellar Development Foundation.
The BENJI token is pegged to shares in FOBXX, which holds government securities, cash, and repurchase agreements, offering a stable yield to token holders. The token's availability on the Stellar and Polygon blockchains ensures fast, secure, and low-cost transactions.
This innovation significantly enhances the utility of the BENJI token. It opens up the potential for secondary market trading and serves as collateral for loans on decentralized finance (defi) platforms.
"Integrating blockchain-based assets into the broader digital asset ecosystem is crucial," said Roger Bayston, head of digital assets at Franklin Templeton. "Tokenized U.S. Treasuries are gaining momentum, with the market for such assets reaching $1.2 billion."
BENJI, launched in 2021, has the largest market capitalization among comparable offerings. New entrants such as Ondo Finance and BlackRock's BUIDL fund are also gaining traction, while Securitize has made strides by enabling peer-to-peer token transfers.
The surge in tokenized U.S. Treasuries reflects the growing trend of bringing traditional financial assets onto blockchain rails. This move enables greater accessibility, liquidity, and transparency in the financial markets.
Franklin Templeton's latest initiative is a testament to its forward-thinking approach to digital assets. By embracing blockchain technology, the company is paving the way for a more interconnected and efficient financial system. As the integration of blockchain-based assets continues to accelerate, BENJI and other similar offerings are poised to play a pivotal role in shaping the future of finance.