SEC allows Franklin Templeton funds to invest in onchain money fund
60-second summary
The SEC is allowing Franklin Templeton funds to invest in its own tokenized money market fund, provided the funds do not exceed 15% of their net assets. This decision will not trigger enforcement action. The move marks a significant step towards mainstream adoption of on-chain money funds, potentially paving the way for more institutional investment in digital assets.
The SEC said it will not pursue enforcement action if Franklin Templeton’s funds start investing cash in the asset manager’s own tokenized money market fund.