Franklin Templeton Adds Canton Network to Tokenized Fund Platform
Franklin Templeton has expanded its tokenized fund platform to Digital Asset’s Canton Network, enabling institutional investors to settle and manage tokenized fund shares across permissioned ledgers. The tokenized fund platform first launched on Ethereum in 2022 and now supports cross-network settlement and asset servicing via Canton Network’s privacy-preserving infrastructure. Franklin Templeton plans to pilot tokenized shares of its Institutional U.S. Government Money Market Fund using DAML smart contracts. The move leverages Digital Asset’s interoperability layer to streamline near-real-time settlement and reduce operational friction. By adding Canton Network, the asset manager enhances its tokenization strategy, opening the door for future expansions into new asset classes and networks. This update underscores growing institutional interest in blockchain-based fund products.
Bullish
Integrating the tokenized fund platform with Canton Network is a bullish signal for the crypto market. Historical launches, like Franklin Templeton’s initial Ethereum pilot, spurred institutional demand for tokenized assets. This expansion reduces settlement times and operational costs, making blockchain-based funds more attractive to large investors. In the short term, demand for ETH may rise due to continued platform development. Over the long term, broader network interoperability could drive sustained interest in tokenization services and ancillary tokens. The partnership with Digital Asset and use of DAML smart contracts set a precedent for future collaborations, likely boosting market confidence and stimulating further growth in institutional crypto adoption.