London-based institutional investment manager Fasanara Capital has launched its first tokenised Money Market Fund, the “Fasanara MMF Token” (“FAST”), held on the Polygon PoS public blockchain.
By tokenising money market funds, the firm aims to make these stable investments more accessible and suited to the digital economy, explains Fasanara Capital CEO Francesco Filia.
“Tokenisation holds transformative potential for hedge fund strategies to expand their investor base, generate alpha, and mitigate risks,” he says.
In his view, specific benefits from the platform include: enhanced liquidity through fractional ownership; lower barriers for global investors providing improved access; real-time performance tracking providing increased transparency; and a reduction in risk due to streamlined processes reducing operational errors.
However, merging traditional finance with decentralised blockchain systems is not without its challenges, Filia notes, outlining that the success of the launch was underpinned by deep collaboration with ecosystem partners.
“Apex Group oversees comprehensive fund administration, Tokeny provides the technology for ERC-3643 smart contracts and token standards, ensuring both regulatory compliance and operational flexibility. Fireblocks’ secure infrastructure underpins wallet security, Chainlink brings transparency with NAV data on-chain,” Filia explains.
“Additionally, XBTO played a crucial role as a regulated custodian safeguarding digital assets.”
All these elements were integrated on Polygon’s scalable PoS infrastructure, creating a pathway for real-time settlement, transparency, and broader accessibility in money market funds, Filia says. Fasanara’s experience managing Real World Assets (RWA) and Digital Assets also helped, he adds.
Like many sectors, the finance industry is having to increasingly adapt to the digital transformation wave.
In 2024, Canadian/Indian strategic market insight firm, Precedence Research, reported that the global digital transformation in BFSI market size was calculated at $93.04bn.
By 2033, this number is expected to reach around $371.51bn, expanding at a compound annual growth rate of 16.63%.
