China Pacific Insurance Launches $100 Million Tokenized Money Market Fund
China Pacific Insurance has launched a $100 million tokenized U.S. dollar money market fund on the HashKey Chain. This fund is available to professional and institutional investors, focusing on U.S. dollar-denominated short-term assets. The trend of asset tokenization is expanding in Asia, enhancing efficiency and settlement times in traditional finance.
China Pacific Insurance (CPIC) Investment Management has recently introduced a tokenized U.S. dollar money market fund utilizing the HashKey Chain. This fund successfully secured $100 million in subscriptions on its inaugural day. Aimed at professional and institutional investors, it comprises U.S. dollar-denominated short-term fixed income assets and money market instruments, marking a significant development in the asset tokenization trend gaining traction across Asia.
The eStable Money Market Fund (MMF) operates on the HashKey Chain, designed specifically for institutional users by HashKey Group. In collaboration with Standard Chartered Bank, the fund benefits from their registration and administrative services, further enhancing its operational efficacy. As global asset managers increasingly tokenize traditional financial instruments via blockchain, they are realizing substantial efficiency improvements and expedited settlement processes.
Prominent U.S. firms such as Franklin Templeton and BlackRock are at the forefront of tokenizing U.S. Treasury securities, utilizing blockchain as a means to manage cash holdings akin to a money market fund. Furthermore, Fidelity Investments has recently applied for regulatory approval to launch a fund based on the Ethereum network, illustrating the burgeoning scope of this market, which has escalated to an estimated $4.8 billion in total market value within the past year.
Dr. Xiao Feng, Chairman and CEO of HashKey Group, states, “The essence of finance is the flow of value across time and space, and blockchain is the new infrastructure for this process.” Additionally, CG Zhou, CEO of CPIC Investment Management, asserts that integration with traditional finance is pivotal for the future of Web3 development. CPIC aims to widen its scope by tokenizing more traditional assets via compliance-oriented blockchains.
The launch of the tokenized money market fund by CPIC represents a significant milestone in the asset tokenization movement, particularly in Asia. This initiative, coupled with the interest from global leaders in the finance and blockchain sectors, underscores the growing recognition of blockchain’s potential to enhance operational efficiencies in traditional finance. The continuing trend reflects an evolving landscape whereby traditional assets are increasingly integrated into digital frameworks.
Original Source: www.coindesk.com
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