F/m Investments Files to Introduce First Ever Tokenized T-Bill ETF

F/m Investments has asked the US Securities and Exchange Commission (SEC) for permission to record ownership of its existing exchange-traded fund (ETF) shares on a blockchain, marking a potential first filing for the regulated ETF market.

On January 21, the firm submitted the exemptive application requesting permission to tokenize shares of its 3-Month Bill ETF of $6.3 billion of its US Treasury (TBIL). If approved, the proposal would permit tokenized and conventional ETF shares to coexist under the same ticker, CUSIP (Committee on Uniform Securities Identification Procedures), fees, rights and disclosures. 

However, the fund’s investment strategy, holdings, trading mechanics, and exchange listing would remain unchanged. The filing does not change the ETF itself but is concerned with the way ownership records are kept.

The move would make short-term US Treasuries a real-world test case for integrating blockchain-based ownership records into regulated securities markets, rather than operating outside existing rules.

Tokenization moves inside regulatory framework

According to the company, the application would allow TBIL shares to be recorded on a permissioned blockchain ledger while remaining fully compliant with the Investment Company Act of 1940 and Rule 6c-11.

F/m said the structure would preserve traditional investor protections, including board oversight, daily portfolio transparency, third-party custody, and audits.

“Tokenization is coming to securities markets whether we file this application or not,” said Alexander Morris, CEO of F/m Investments.

“The question is whether it happens inside the regulatory framework investors have relied on for 85 years, or without that set of protections for investors.” The filing was made in collaboration with The RBB Fund, Inc., F/m’s multi-series trust.

Bridging traditional brokerage and blockchain settlement

David Littleton, Co-Founder and President of F/m Investments, said the goal is to allow TBIL to operate as a standard Treasury ETF while enabling regulated movement between traditional brokerage systems and token-aware settlement platforms.

Market commentators also noted the significance of the filing. ETF analyst Nate Geraci wrote on X that F/m Investments has become “the first ETF issuer to file with the SEC for tokenized ETF shares,” adding that it could be “the first of many.”

Growing momentum around real-world asset tokenization

The filing comes as tokenization of real-world assets (RWAs) gains traction across traditional finance. Over the past year, several major firms have launched blockchain-based versions of familiar financial products.

The digital liquidity fund by BlackRock has grown fast on Ethereum, and JPMorgan has recently launched a tokenized money-market fund which is targeted at institutional clients. Major exchanges have also announced tokenization initiatives, signaling broader interest in blockchain-based settlement and recordkeeping.

Unlike unregistered digital tokens or stablecoins, which often operate outside securities law, F/m’s proposal keeps tokenized ETF shares firmly within the existing regulatory structure.

If approved, the approach could allow a single ETF share class to support both conventional brokerage trading and blockchain-based settlement workflows.

Although the SEC has not yet decided on the application, the request shows an increasing trend by traditional asset managers to integrate blockchain technology into regulated markets instead of circumventing them. The result may affect the way other ETFs and financial products will venture into tokenization in future. 

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