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DBS Bank partners with Franklin Templeton and Ripple on tokenized funds.
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DBS Digital Exchange will trade Franklin’s sgBENJI against Ripple’s RLUSD stablecoin.
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Next phase may allow clients to use tokenized funds as collateral.
Tokenized fund trading
Singapore’s DBS Bank has joined forces with Franklin Templeton and Ripple to expand tokenized finance solutions. DBS Digital Exchange is listing sgBENJI, the tokenized version of Franklin’s U.S. Dollar Short-Term Money Market Fund.
Settlement via RLUSD
Eligible institutional clients can now trade sgBENJI against Ripple’s RLUSD stablecoin, with the fund tokenized on the XRP Ledger for speed and low costs. DBS said the initiative highlights how tokenized securities can meet the demands of 24/7 digital markets.
Collateral opportunities
In the next phase, DBS plans to let clients use sgBENJI holdings as collateral for loans, potentially through repo agreements with the bank or third parties.
DBS blockchain activity
DBS has been active in blockchain since 2021, launching tokenized structured notes and other digital products. This new partnership underlines its push to integrate tokenized assets into mainstream finance.
Industry trend
Tokenized funds are gaining momentum globally, with firms like BlackRock and Franklin Templeton leading adoption. Analysts see tokenization as a key step toward increasing efficiency and liquidity in global markets.
