Franklin Templeton transforms its money market fund into a stablecoin reserve tool

According to Odaily, Franklin Templeton has announced that it will make its two institutional money market funds compatible with blockchain finance, aiming to position itself for the growing market of tokenized assets and regulated stablecoins. This update applies to the Western Asset Institutional Treasury Obligations Fund (LUIXX) and the Western Asset Institutional Treasury Reserves Fund (DIGXX), both managed by its affiliate Western Asset Management. Roger Bayston, Head of Digital Assets at Franklin Templeton, stated that traditional funds have begun to move on-chain, so the focus is on making them more accessible to a wider audience. It is reported that the LUIXX fund has been amended to comply with the GENIUS Act, which sets reserve standards for regulated stablecoins. The fund currently holds only short-term U.S. Treasury securities with maturities of less than 93 days and can be used as a stablecoin reserve tool. The DIGXX fund has launched a digital institutional share class specifically designed for distribution on blockchain platforms, allowing approved intermediaries to record and transfer fund share ownership on-chain. (CoinDesk)