Investors can now use USDC to fund their accounts and purchase shares in the first and only U.S. registered mutual fund that processes transactions and records ownership on a public blockchain.
San Mateo, California, June 6, 2024–(BUSINESS WIRE)–Franklin Templeton today announced that users of its Benji Investments platform can convert their USDC stablecoin into US Dollars (“USD”) to fund investments in shares of the Franklin On-Chain U.S. Government Money Fund (FOBXX) (the “Fund”), with each share of the Fund represented by one “BENJI Token.”
The USDC to USD conversion service is provided by Zero Hash, a cryptocurrency and stablecoin infrastructure platform that supports over 60 digital assets across multiple blockchains. The Zero Hash conversion service allows investors to convert USDC to USD. The converted USD will be transferred to their Franklin Templeton account and can be used to seamlessly purchase BENJI tokens. Fund investors can also use the Zero Hash service to convert USD proceeds from the sale of BENJI tokens back to USDC.
The feature will be available immediately in certain institutional wallets on the Benji Investments platform, and fund shareholders can initiate conversions at any time. A USDC conversion service for retail investors using the Benji Investments mobile app may be enabled in the future.
“Providing an on-ramp to purchase BENJI tokens with USDC gives investors seamless access to our tokenized money market fund, a registered fund that allows them to earn yield while offering the price stability characteristics of stablecoins,” said Roger Bayston, head of digital assets at Franklin Templeton. “This is an exciting step in our ongoing efforts to make the digital asset ecosystem more accessible to both traditional and blockchain-native investors. We are also building a framework that will allow BENJI tokens to become interoperable with additional tokens in the near future.”
The Franklin On-Chain US Government Money Fund launched in 2021 and is the first and only US registered fund to use a public blockchain as a system of record for transaction processing and recording share ownership. The fund offers competitive yields, is a 1940 Act regulated fund, and invests at least 99.5% of its total assets in government securities, cash, and repurchase agreements fully collateralized with government securities or cash. The fund’s investment objective is to provide investors with as high a level of current income as is consistent with the preservation of shareholders’ capital and liquidity, and to maintain a stable $1.00 share price. In April 2024, Franklin Templeton announced that institutional BENJI token holders can now transfer shares from one shareholder to another (“peer-to-peer”) on the public blockchain.
Retail investors can invest in the fund with their digital wallet through the Benji Investments app, available on mobile app stores for Android and Apple devices, while institutional investors can invest through the Benji Institutional Web Portal.
About Franklin Templeton
Franklin Resources Co., Ltd. [NYSE:BEN] Franklin Templeton, with its subsidiaries operating as Franklin Templeton, is a global investment management organization serving clients in more than 150 countries. Franklin Templeton’s mission is to help clients achieve better outcomes through investment management expertise, asset management and technology solutions. Through its dedicated investment managers, the firm offers expertise on a global scale and brings extensive capabilities in fixed income, equity, alternative and multi-asset solutions. Based in California, the firm has more than 1,500 investment professionals and offices in major financial markets around the world, with more than 75 years of investment experience and more than $1.6 trillion in assets under management as of April 30, 2024. For more information, visit franklintempleton.com. Follow us on LinkedIn. twitter And Facebook.
You may incur losses when investing in the Fund. Although the Fund seeks to preserve the value of your investment at $1 per share, there is no guarantee that it will do so. An investment in the Fund is not a bank account and is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. The Fund’s sponsor is under no obligation to indemnify the Fund for losses, and you should not expect that the sponsor will provide financial support to the Fund at any time, including during periods of market stress. Although the Fund invests in U.S. government obligations, an investment in the Fund is not insured or guaranteed by the U.S. government.
All investments involve risk, including loss of principal. There are risks associated with issuing, redeeming, transferring, storing and keeping records of shares that are managed and recorded primarily on the blockchain. For example, Shares issued using blockchain technology The risks include: Blockchain is a rapidly evolving regulatory environmentThis could raise security, privacy and other regulatory concerns and require changes to the way in which stock transactions are recorded. yield They may be affected by changes in interest rates and credit ratings. These and other risks are described in the Fund’s prospectus.
Investors should carefully consider the fund’s investment objectives, risks, charges and expenses before investing. To obtain a summary prospectus or prospectus containing this and other information, consult your financial professional, call us at (800) DIAL BEN/342-5236 or visit franklintempleton.com. Please read the prospectus carefully before investing or sending any money.
Zero Hash Disclosure
Zero Hash’s services and products may not be available in all jurisdictions. Zero Hash accounts are not subject to FDIC or SIPC protection or equivalent protections that may exist outside the United States. Zero Hash’s technical support and asset enablement is not a recommendation of the assets and is not a recommendation to buy, sell, or hold crypto assets. The value of all crypto assets, including digital assets pegged to fiat currency, commodities, or other assets, may go to zero. Zero Hash is not registered with the SEC or FINRA. Zero Hash does not provide securities services and is not a custodian of securities, including security tokens, on behalf of its clients.
The on/off ramp for the USDC service on the Benji Investments platform is currently not available to New York residents.
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contact address
Franklin Templeton Corporate Communications:
Travis Fishstein, (917) 822-1857, travis.fishstein@franklintempleton.com
