Key conclusions

• JPMorgan tokenized the money market fund and launched it on the Ethereum mainnet.

• The fund holds U.S. Treasury bonds and Treasury-backed repos with daily reinvestment of dividends.

• Public Ethereum places MONY alongside stablecoins, tokenized treasuries, and existing onchain liquidity.

• Now the focus is on the operate of collateral, secondary transfers and whether other immense banks follow suit.

JPMorgan Asset Management has listed a very conventional product on the Ethereum blockchain: a tokenized money market fund called My OnChain Net Yield Fund (MONY).

It was launched on December 15, 2025 and runs on the bank’s Kinexys Digital Assets platform. Investors gain access to the fund through Morgan Money, with ownership shares issued in the form of blockchain tokens delivered directly to their onchain addresses.

This is vital because money market funds are a common tool that institutions operate to park short-term cash. They are built for liquidity and consistent returns and are typically backed by plain vanilla assets.

MONY fits this profile exactly. It invests in U.S. Treasury bonds and Treasury-backed repos, offers daily dividend reinvestment, and allows qualified investors to subscribe and redeem for cash or stablecoins. JPMorgan also said it was making an internal investment in the fund ahead of its wider opening.

The decision to operate Ethereum as the settlement layer makes the launch even more notable.

Did you know? A Treasury-backed repo is essentially a short-term, collateralized loan. One party provides cash, the other puts up U.S. Treasury bonds as collateral, and both agree to reverse the transaction later at a slightly higher price. The difference between these two prices represents interest.

What exactly did JPMorgan bring to market?

MONY is a money market fund delivered onchain. Investors purchase fund shares backed by a conservative cash portfolio of U.S. Treasury securities and fully Treasury-backed repurchase agreements, with ownership represented in the form of a token sent to the investor’s Ethereum address.

Configuration is done via two JPMorgan systems:

• Morgan Money is the interface through which qualified investors subscribe, exchange and manage positions.

• Kinexys Digital Assets is a tokenization layer that issues and manages the onchain representation of these fund interests.

The idea is that tokenization can improve transparency, support peer-to-peer transfers, and open the door to these items being used as collateral in blockchain-based markets.

On the product side, MONY keeps the mechanics savvy, providing daily dividend reinvestment and subscriptions and redemptions via Morgan Money for cash or stablecoins.

Why “public Ethereum” is so captivating

JPMorgan wants to connect to onchain systems that counterparties already operate, including stablecoins for settlement, custody and reporting processes, analytics, compliance tools and distribution channels.

Ethereum is also where cryptocurrency cash activity is concentrated. RWA.xyz estimates stablecoins worth approximately $299 billion, creating a liquidity base with which tokenized funds repeatedly interact for settlement and cash management purposes.

In terms of cash-like assets, tokenized treasuries total $8.96 billion. A money market-style product is adjacent to this market because it is adjacent to assets and behaviors that investors already operate to park funds, transfer liquidity, and post collateral.

Then there is coverage. The RWA.xyz network table shows that Ethereum holds approximately two-thirds of the total tokenized value of RWA.

For a regulated product that must move between approved contractors, concentration matters.

Did you know? “Public Ethereum” refers to the Ethereum mainnet, an open network that can be used by anyone. People often say that “Ethereum” means the same thing, but the addition of “public” makes it clear that it is not a private, licensed and bank-run network like Ethereum.

When cash profit goes up

MONY’s portfolio remains conservative, consisting of US Treasuries and Treasury-backed repos with daily dividend reinvestment, while ownership is represented as a token on the investor’s blockchain address. Once income-producing cash is in the chain, it can start to be integrated with other workflows.

1) 24/7 tax service

Positions can sit alongside balances of stablecoins and other tokenized assets, with subscriptions and redemptions led by Morgan Money and the token layer handled by Kinexys Digital Assets. For institutions that already process part of their cash and settlement flows on-chain, this creates a much tighter loop.

2) Additional mobility

JPMorgan highlights the potential for broader collateral operate, as well as the transparency and transferability of collateral on a peer-to-peer basis. Collateral is where time and costs tend to accumulate as a result of eligibility, handover, settlement timing and transfer control. A tokenized share in a money market fund provides approved parties with a simpler way to transfer value, settle it more quickly, and enforce who can hold it using onchain rules.

3) Cash part for tokenized markets

Tokenized securities, funds and real-world assets (RWAs) still need a place to park liquidity between transactions and settlements. An income-producing cash product on Ethereum naturally fits into this role as onchain markets continue to scale.

Competitive landscape

MONY enters a lane that is already crowded with earnest players.

BlackRock’s BUIDL launched in 2024 as a tokenized fund on Ethereum, and recent updates include features that institutions actually operate, including daily dividends, 24/7 peer-to-peer transfers, wider network coverage and moves towards security integration.

Franklin Templeton is implementing the same idea in its onchain money market fund, where BENJI tokens represent FOBXX shares.

Then we have the market infrastructure layer. BNY Mellon and Goldman Sachs were discuss record tokenization approaches designed to facilitate the transfer of existing money market fund holdings within institutional workflows.

The market appears to be on the upswing, offering tokenized cash products, improved transfer infrastructure, and clearer paths to leverage collateral.

McKinsey’s basic case estimates approximately $2 trillion in tokenized financial assets by 2030, excluding cryptocurrencies and stablecoins.

Meanwhile, Calastone estimates as of June 2025, it manages over $24 billion in tokenized assets, with significant contributions from money market funds and treasury bonds.

Practicality and effect

MONY launches a regulated cash product on public Ethereum, access to which remains tightly closed. This is offered as a Rule 506(c) private placement to qualified investors, with distribution through Morgan Money. Eligibility checks are at the heart of the product and the investor base remains narrowly defined.

This structure shapes the way the token can move. A tokenized fund share may include transfer rules, compliance gateways, and operational controls that determine who can hold it, who can receive it, and how redemption works in various scenarios. JPMorgan’s disclosures about the product risks and operate of blockchain point to an institutional-level implementation designed with control and auditability in mind.

The launch site is the Ethereum mainnet and usage patterns may change as economics change. Mainnet fees and operational costs impact the frequency of resource movement and can drive decisions about scaling paths over time, including potential Layer 2 activity as volumes raise.

It’s worth watching this unfold as the actual rhythm of product performance emerges.

Did you know? Rule 506(c) is an exemption for U.S. securities that allows the issuer to publicly promote the private placement, provided that all purchasers are accredited investors and the issuer verifies this status.

What now?

Three signals will show how far this will go.

• First, whether MONY tokens will begin to emerge as useful collateral in broader onchain workflows such as repo-style agreements, collateralized lending, hedging, and prime-brokerage-style rails, which is in line with JPMorgan’s push for “broader use of collateral.”

• Second, whether other global systemically vital banks (GSIBs) follow JPMorgan into public networks. If partners repeat their choice of settlement layer, it will be a signal that public infrastructure is becoming a leading place for tokenized cash products.

• Third, whether the settlement of stablecoins, including USDC (USDC) in the reported scope, moves beyond subscriptions and redemptions towards secondary transfers and deeper integration. At this point, the distribution begins to resemble market infrastructure rather than a closed-end fund product.

If MONY is accepted as collateral and circulates through secondary transfers rather than just subscriptions and redemptions, it will become part of the settlement cycle rather than a closed-end money market fund.

If other GSIBs introduce similar cash products on the Ethereum mainnet, it would mark a potential default spot if the tokenized cash trend continues.