UBS Asset Management has announced the launch of a new investment fund called the UBS USD Money Market Investment Fund Token, or uMINT.
According to the press release, this fund is a money market investment that uses Ethereum’s distributed ledger technology (DLT) to offer a modern way for institutional investors to manage their funds.
Thomas Kaegi, Co-Head of UBS Asset Management for Asia-Pacific, said that the fund was created based on the fact that more and more investors are getting interested in digital financial products
“We are seeing growing demand for tokenised financial assets across asset classes. By leveraging UBS’s global capabilities and partnering with our peers and regulators, we are now able to offer this innovative solution to our clients” he said.
With uMINT, investors can access UBS’s cash management services, which are based on safe money market tools. These tools are designed to be conservative and low-risk for institutional investors who want to protect their money.
UBS also plans to use both public and private blockchain networks to improve how they issue and distribute funds. Moreover, the uMINT fund is part of a larger effort to expand UBS’s digital services through a program known as UBS Tokenize.
Earlier this year, in June 2023, UBS issued CNH 200 million in fully digital structured notes for another company. In November 2023, they achieved a milestone by completing the world’s first cross-border repurchase transaction with a digital bond, which was fully managed on a public blockchain.
Additionally, UBS is working with the Monetary Authority of Singapore on a project called Project Guardian. In October 2023, they launched a pilot program for tokenized Variable Capital Company (VCC) funds.
Furthermore, the uMINT fund will be available through approved distribution partners, making it easier for investors to get involved in this new investment option. The firm now manages around $5.7 trillion in assets and operates in more than 50 countries after acquiring Credit Suisse early last year.
Also Read: Buterin’s ‘The Splurge’ to Strengthen Ethereum’s Future
