JPMorgan Asset Management to launch second tokenized MMF on Ethereum
- Tokenization Insight
- May 12
- 2 min read
JPMorgan Asset Management plans to launch its second tokenized money market fund, JPMorgan OnChain Liquidity-Token Money Market Fund (ticker: JLTXX), on Ethereum.
➡️ 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
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.
The fund has a minimum investment of $1M and JPMorgan AM will invest $100M into the fund initially with additional capital contribution from Anchorage Digital, a federally chartered bank with digital asset focus.
➡️ Why this matters
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 points 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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