Multinational banking giant State Street has launched an institutional digital asset platform to assist businesses in navigating the sector and launching various crypto products. The platform will offer tokenization services, digital asset custody, and access to digital assets, supporting the creation of tokenized money market funds, ETFs, tokenized deposits, and stablecoins. State Street aims to bridge traditional assets to crypto via tokenization.

State Street’s platform is designed for institutional clients and awaits jurisdictional regulatory approvals. Tokenization has become a focal point for traditional finance companies seeking to experiment with blockchain technology to enhance liquidity. Crypto banking group Sygnum predicts tokenization will go mainstream by 2026 due to clear regulations in the US.

State Street manages $5.4 trillion in assets and has been increasingly involved in the digital asset space. In collaboration with Galaxy Asset Management and Ondo Finance, the firm launched a tokenized fund on Solana in December to enable 24/7 liquidity through blockchain-based cash sweep balances. Other finance managers like Fidelity, Franklin Templeton, and JPMorgan have also introduced tokenized money-market funds and crypto-tied ETFs.

Various traditional finance firms, including BlackRock, are embracing tokenization and blockchain technology. State Street’s platform is part of a broader trend in the financial sector towards digital asset integration and innovation.

Read more at Cointelegraph: State Street Launches Platform For Tokenizing Assets