DBS and Franklin Templeton Launch Tokenized Retail Fund
Singapore has taken a decisive step toward mainstream digital finance. Franklin Templeton and DBS Bank have launched the city-state’s first tokenized retail fund – a US dollar short-term money market strategy recorded on a blockchain register – with a minimum ticket of just US$20 and retail availability expected in the first quarter of 2026.
The Monetary Authority of Singapore (MAS) has approved the Franklin Onchain US Dollar Short-Term Money Market Fund as an authorized scheme, bringing a regulated, low-volatility cash vehicle onto blockchain rails. Tokenization enables fractional ownership, faster recordkeeping, and near real-time transparency while preserving the familiar economics of a money market fund.
Distribution Now – Retail Next
The fund is immediately available via DBS relationship managers to wealth clients and accredited investors, with retail rollout slated for the first quarter of 2026.
The US$20 minimum sharply lowers the threshold for participation compared with traditional share classes, widening access to high-quality, short-duration U.S. dollar assets.
Why Tokenization Matters
By shifting the share register on-chain, investors gain enhanced transparency – including daily yield accrual and real-time fund data – alongside operational efficiencies in subscription, transfer, and redemption workflows. The blockchain’s tamper-resistant ledger also strengthens auditability across the investment lifecycle.
The tokenized vehicle mirrors the approach of Franklin Templeton’s Luxembourg-domiciled US Dollar Short Term Money Market Fund, a strategy with more than 30 years of performance history. The proposition: liquidity, capital stability, and competitive cash yields – now augmented by on-chain speed and transparency.
Benji Technology Under the Hood
Franklin Templeton’s proprietary Benji Technology Platform powers the fund’s blockchain-integrated recordkeeping and administration. The stack is available as white-label infrastructure for banks and asset managers to tokenize securities or to support fully on-chain money market funds across retail, wealth, institutional, and collateral use cases.
The collaboration dovetails with industry efforts such as Project Guardian to test asset tokenization in a regulated setting. «As investor interest in tokenized funds and digital assets continues to accelerate, we are excited to collaborate with DBS… and contribute to the development of a vibrant and forward-looking digital asset ecosystem in Singapore,» said Tariq Ahmad, Head of APAC at Franklin Templeton.
Lowering Barriers at Scale
DBS, recognized for digital leadership and balance-sheet strength, positions the offering squarely at the mass-affluent and retail segments. «By availing Singapore’s first tokenized retail fund to our customers, at a minimum investment sum of just US$20, we are making it simpler and more convenient for them to start investing and build resilience through market cycles,» noted James Tan, Group Head of Investment Products & Advisory at DBS.
Franklin Templeton has been active in digital assets since 2018, operating node validators and launching the first U.S.-registered mutual fund to process transactions on-chain in 2021, followed by the first fully tokenized UCITS fund in 2024. The Singapore retail launch signals a shift from proofs-of-concept to scaled distribution in a top global wealth hub.
What to Watch Next
For investors, the core economics remain those of a conservative cash fund, but the ownership interests are native to a blockchain registry. That opens pathways to faster settlement, improved transparency, and potential integration with programmable finance – all while keeping the compliance perimeter of a regulated fund. The draw is straightforward: cash management with institutional plumbing and retail-level access.
Key milestones include the retail launch timeline, the mechanics of secondary-market transfers, and the pace of adoption by other banks and asset managers of white-label tokenization stacks. As tokenized cash vehicles proliferate, competitive differentiation will hinge on user experience, integration with banks’ digital channels, and the breadth of on-chain services – from collateral mobility to automated treasury workflows.
