UBS has introduced a tokenized fund on the Ethereum blockchain, called the “UBS USD Money Market Investment Fund Token” or “uMINT,” in response to rising investor interest in tokenized financial assets. The bank's co-head for APAC, Thomas Kaegi, noted a growing demand across various asset classes. Crypto commentators believe this initiative will positively influence the price of Ether, with many stating that significant institutional engagement represents a shift towards mainstream adoption of tokenized assets. By leveraging institutional-grade cash management solutions within a conservative risk framework, UBS aims to enhance investor access to quality money market instruments. The bank previously piloted the tokenized fund concept in 2023, utilizing a smart contract on Ethereum for transactions like redemptions and subscriptions. This launch coincides with similar movements by other financial institutions towards blockchain-based funds, highlighting a trend among asset managers to adopt blockchain technology for funds and treasury management.

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