$1,400,000,000,000 Asset Manager Franklin Templeton Launches New Fund on Polygon (MATIC)

Investment titan Franklin Templeton says that its blockchain-run mutual fund is now supported on the Ethereum (ETH) layer-2 scaling solution Polygon (MATIC).

The $1.4 trillion asset manager’s Franklin OnChain U.S. Government Money Fund (FOBXX) is the first US-registered mutual fund to use a public blockchain to execute transactions and record share ownership. 

The fund, which recently surpassed $272 million in assets under management, primarily invests in government securities, cash and repurchase agreements.

In a new statement, Franklin Templeton says that FOBXX is now connected to Polygon. The fund also uses the Stellar network for transaction activities. 

“Franklin Templeton continues to see operational efficiencies through use of a blockchain-integrated system, including increased security, faster transaction processing and reduced costs, benefiting Fund shareholders.”

Franklin Templeton says it is also tapping into the Ethereum ecosystem to explore opportunities that will benefit its investors.

Says Franklin Templeton head of digital assets Roger Bayston,

“Extending the reach of the Franklin OnChain U.S. Government Money Fund to Polygon enables the Fund to be further compatible with the rest of the digital ecosystem, specifically through an Ethereum-based blockchain. This furthers our distribution reach through a Layer-2 (L2) blockchain that has a proven track record.”

At time of writing, MATIC is trading for $1.00.

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