Two of Wall Street’s financial giants are taking a leap into tokenization.
Goldman Sachs and BNY have partnered to digitize shares of money market funds (MMFs), allowing institutional investors to transact on-chain while maintaining exposure to traditional financial assets.
Through BNY’s LiquidityDirect platform, investors can now trade MMF shares with a blockchain-based mirror of ownership managed via Goldman’s GS DAP® system. This innovation aims to streamline fund operations, enable real-time ownership tracking, and eventually expand the use of these tokenized shares as collateral.
The project is launching with backing from industry heavyweights such as BlackRock, Fidelity, Federated Hermes, and Goldman Sachs Asset Management, signaling strong institutional support for bringing tokenization into mainstream financial instruments.
BNY’s Laide Majiyagbe described the initiative as a foundational step in shifting towards real-time finance, calling tokenized MMF shares a “bridge” between traditional and digital markets. Meanwhile, Goldman’s Mathew McDermott highlighted the potential of tokenized funds to unlock new collateral use cases and smoother asset transfers in the future.
This step comes amid rising interest in digital assets following recent regulatory clarity. With crypto markets surging—Bitcoin now near $118,000 and Ethereum up over 50% in a month—Wall Street is moving fast to integrate blockchain into the core of its operations.
Alexander Stefanov
Reporter at Coindoo
Alex is an experienced financial journalist and cryptocurrency enthusiast. With over 8 years of experience covering the crypto, blockchain, and fintech industries, he is well-versed in the complex and ever-evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His approach allows him to break down complex ideas into accessible and in-depth content. Follow his publications to stay up to date with the most important trends and topics.
Source: https://coindoo.com/bny-and-goldman-launch-blockchain-based-fund-tokens/