JPMorgan Asset Management to launch second tokenized MMF on Ethereum

JPMorgan to launch a second tokenized MMF on Ethereum

JPMorgan Asset Management has filed for the JPMorgan OnChain Liquidity-Token Money Market Fund (ticker: JLTXX), its second tokenized money market fund product.

➡️ Key details:

- JPMorgan Investment Management serves as investment adviser and administrator

- JPMorgan Distribution Services serves as transfer agent and distributor

- Morgan Money and JPMorgan Institutional Funds Services Center act as the client-facing distribution and access layer

- Ethereum serves as the blockchain infrastructure for tokenized fund shares

- Fund has a minimum investment of $1M

The fund will issue digital tokens representing interests in an underlying portfolio of U.S. Treasuries and repurchase agreements. The fund is designed to be GENIUS compliant.

➡️ Why this matters

Earlier this year, JPMorgan launched My OnChain Net Yield Fund (MONY), where tokenized fund shares are recorded on Kinexys, JPMorgan’s proprietary blockchain infrastructure.

Unlike MONY, tokens representing JLTXX shares can be held in digital wallets on Ethereum, transferred between investors, or used as collateral in crypto markets, with transactions settling in minutes rather than a day or two as is standard for conventional fund shares. 

This shifts the product toward a potentially DeFi-compatible institutional liquidity instrument.

Equally importantly:

JLTXX is available for subscription and redemption via USD bank wire or USDC stablecoin. The stablecoin subscription and redemption optionality makes the fund much more DeFi friendly and capable of supporting 24/7 always-on onchain finance activities.

In practice, this potentially puts JPMorgan into more direct competition with emerging stablecoin reserve fund products such as BlackRock’s BRSRV.

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