JPMorgan filed for a new tokenized money market fund to support stablecoin reserve management under the proposed GENIUS Act framework. The move expands the bank’s blockchain finance work and links stablecoin liquidity with tokenized U.S. Treasury products on Ethereum.
The bank’s asset management arm submitted paperwork for the JPMorgan OnChain Liquidity-Token Money Market Fund. The product would trade under the ticker JLTXX if the filing process moves forward.
Also Read: Bitmine Holds 5.2M Ethereum Worth $12.08B in May 2026
JPMorgan Details Ethereum-Based JLTXX Fund Structure
According to the filing, the tokenized money market fund will sell digital tokens on Ethereum. These tokens will entitle ownership of a U.S. Treasury and repurchase agreement-backed portfolio.
The filing states that the actual assets will continue to be held by a regular custodian. This setup has the fund ownership represented at the blockchain level while keeping assets within an existing custody model.
However, JPMorgan said that investors may keep tokens in digital wallets. They could also transfer them amongst approved participants or lend them in associated crypto marketplaces.
The bank also referenced quicker settlement as another benefit. Instead of the one- to two-day process for traditional funds.
The new tokenized money market fund comes after JPMorgan created a similar blockchain-linked product, My OnChain Net Yield Fund. MONY, which debuted on Ethereum in December, is a yield-bearing asset that accumulates dollars for investors by holding short-term debt securities.
Tokenized Money Market Fund Drives Treasury Push
The new tokenized money market fund filing follows large financial firms studying the potential for tokenizing Treasury products across stablecoin reserve infrastructure. JPMorgan and BlackRock are more interested in moving reserve-linked liquidity on-chain via Treasury-backed instruments.
According to Bitwise research analyst Cam Khosravi, stablecoin liquidity is now the critical factor for institutions in deciding where to tokenize their assets. He said Ethereum could solidify its place as more reserve-backed products launch.
JPMorgan has tested tokenizing Treasury transfers outside the Ethereum network. The bank has participated in a test to transfer a tokenized U.S. Treasury fund via the XRP Ledger and interbank payment systems to a Singapore account in seconds.
Morgan Stanley made a move into the reserve-linked market earlier this year. It has introduced the Stablecoin Reserves Portfolio, which provides stablecoin issuers the opportunity to deposit reserve assets into one of its money market funds.
In April, the International Monetary Fund (IMF) issued a warning that tokenization could undermine the financial risk distribution capabilities of banks. It said those risks could be transferred to shared ledgers and smart contracts.
The IMF also pointed out that there was a lack of clarity regarding the ownership records and settlement finality. Its warning highlights the growth of the tokenized money market fund sector, while regulatory and legal issues continue to be significant.
Also Read: Ethereum Staking Proposal Could Reduce ETH Inflation in 2026
