Singapore-based fintech firm OpenEden has appointed U.S. financial firm BNY as the investment manager and primary custodian for its tokenised U.S. Treasury fund. Launched in 2023, the fund offers investors exposure to short-dated U.S. Treasury bills and has nearly $300 million in assets under management.

Doni Shamsuddin, head of Asia Pacific at BNY Investments, highlighted that this is the first time BNY is offering investments and custody services to tokenised funds. BNY will manage the fund and invest in Treasury bills, money market funds, and similar assets that back the tokens issued by OpenEden.

The move comes amid increasing demand for tokenised money market funds and as major U.S. banks consider expanding into cryptocurrencies following support from regulators. Tokenisation involves converting financial assets like bank deposits, stocks, bonds, and real estate into cryptocurrency assets on the blockchain.

This development reflects the growing trend of integrating traditional finance with blockchain technology. OpenEden’s partnership with BNY signals a significant step in bridging the gap between traditional and digital finance, catering to investors’ evolving preferences and demands in the rapidly changing financial landscape.

Read more at Yahoo Finance: BNY appointed investment manager for OpenEden’s tokenised US Treasury fund