Franklin Templeton: On-chain money market funds can reduce costs by 5–15 basis points, paving the way for banks to operate around the clock

Odaily Planet Daily reports that Franklin Templeton, SWIFT, and Ledger executives stated that tokenized money market funds and digital bank deposits are moving from the pilot phase to the early stage of financial infrastructure, with the banking system potentially operating 24/7 on native chains in the future. Chetan Karkhanis, Head of Digital Assets at Franklin Templeton, said the company is focusing on advancing the tokenization of money market funds by issuing fund shares natively on the chain and supporting self-custody wallets or exchange access to achieve round-the-clock liquidity and reduce operational costs by 5 to 15 basis points. However, institutional adoption is still in the early stages. Industry data shows that the current on-chain stablecoin market cap is about $300 billion, tokenized U.S. Treasuries and other RWA amount to approximately $40 billion, which is still a small proportion compared to the global wealth scale of over $200 trillion. (Coindesk)