Franklin Templeton’s BENJI Balance on Arbitrum Reaches $56.10 Million
RWA Signal Insight
U.S. TreasuriesFranklin Templeton’s Franklin OnChain U.S. Government Money Fund (FOBXX) has seen its presence on the Arbitrum network grow to $56.10 million in measured value as of October 24, 2024. The fund, which represents the first tokenized government money market fund to use a public blockchain, became available on Arbitrum in August 2024. Investors access the fund via the Benji platform, where each BENJI token corresponds to one share of the underlying fund. Recent snapshots indicate a notable increase in holdings, with estimates rising from approximately $48.2 million on October 16 to the current $56.10 million figure. While the exact drivers of this growth remain unclear, the data highlights the expanding footprint of institutional-grade Treasury instruments on Layer 2 scaling solutions. FOBXX maintains a conservative mandate, with at least 99.5% of assets invested in government securities, cash, or related repurchase agreements. This development underscores the ongoing migration of traditional financial products onto high-performance blockchain infrastructure to improve accessibility for institutional participants. The fund utilizes a permissioned system, ensuring that all wallet addresses are vetted and ownership records are maintained by the transfer agent.
Key points
- FOBXX reached $56.10 million in measured value on Arbitrum as of October 24.
- Each BENJI token represents one share of the Franklin OnChain U.S. Government Money Fund.
- Arbitrum hosts eight tokenized Treasury instruments totaling $273.31 million in value.
- FOBXX requires a $1,000 minimum initial investment for institutional access via Benji.
Background
Franklin Templeton’s FOBXX is a regulated money market fund that invests primarily in U.S. government securities. It is notable for being the first U.S.-registered fund to use a public blockchain for transaction processing and share ownership recording. The fund operates through the Benji platform, which provides a permissioned interface for investors to interact with tokenized fund shares.