Asset manager Franklin Templeton, who manages $1.5 trillion on behalf of his clients, announced today that one of his funds is now backed on the Polygon (MATIC) altcoin blockchain.
Franklin Templeton Explains Why He Chose The Polygon Altcoin
Franklin Templeton, one of the world's largest asset managers, said Wednesday that the Nasdaq-listed OnChain US Government Money Fund (FOBXX) will use Polygon to "be more in tune with the rest of the digital ecosystem."
Launched in 2021, the fund was first made available on the Stellar blockchain. A spokesperson for Franklin Templeton added that Polygon is the second blockchain supported by the fund, adding that more networks may be supported in the future.
Roger Bayston, head of digital assets at Franklin Templeton, said in a statement:
“Expanding the reach of the Franklin OnChain US Government Money Fund to Polygon allows the fund to be more aligned with the rest of the digital ecosystem, specifically through an Ethereum-based blockchain.
This further advances our distribution reach through a Layer 2 (L2) cryptocurrency network with a proven track record.”
This fund is the first US registered fund to use blockchain to process transactions and record share ownership.
The Stellar Development Foundation, a nonprofit that supports the Stellar blockchain, recently invested $20 million in the fund. Polygon Labs declined to comment when asked if it had invested in the fund.
*Not investment advice.