Franklin Templeton Global Investment Fund has filed an application with the SEC to launch a state-owned short-term investment fund, whose shares will be tokenized on the Stellar network.
According to the application, the fund will invest at least 99.5% of the assets under its management in government securities, cash and repos fully secured by government securities or cash. In addition, the fund will invest in “blockchain-based stocks,” but not in cryptocurrencies.
Franklin Templeton said that “the blockchain makes it possible to bring traditional asset management products and services closer to transaction payments” and that “the short-term investment fund, which is supported by physical assets, is registered with the SEC, and its shares, existing as its own digital assets in the blockchain, can be an ideal stable digital asset for use in the new economy. ”
As part of the foundation, Franklin Templeton will also develop a mobile application that will be available on the Apple App Store and Google Play. This application will allow investors to purchase and redeem tokenized shares in the state short-term investment fund directly from the company, as well as track the balance of shares in the Stellar blockchain.
The SEC is increasingly faced with applications from participants in the cryptocurrency industry, however, some manage to take advantage of exceptions to the rules of the Securities and Exchange Commission. For example, this week it became known that VanEck and SolidX will launch a limited version of Bitcoin ETFs for institutional investors.