Key insights
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JPMorgan has tokenized a money market fund and launched it on the Ethereum mainnet.
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The fund holds U.S. Treasury securities and Treasury-backed repos with dividends reinvested each day.
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Public Ethereum places MONY alongside stablecoins, tokenized treasuries and existing on-chain liquidity.
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Now the main focus is shifting to collateral use, secondary transfers and whether other major banks will follow.
JPMorgan Asset Management has placed a really traditional product on the Ethereum blockchain: a tokenized money market fund called My OnChain Net Yield Fund (MONY).
It was launched on December 15, 2025 and runs on the bank's Kinexys Digital Assets platform. Investors access the fund through Morgan Money, with ownership shares issued as blockchain tokens delivered on to their on-chain addresses.
This is important because money market funds are a standard vehicle through which institutions invest short-term money. They are designed for liquidity and consistent income and are frequently secured by easy assets.
MONY suits exactly into this profile. It invests in U.S. Treasury securities and Treasury-backed repos, offers each day dividend reinvestment, and allows qualified investors to subscribe and redeem with money or stablecoins. JPMorgan has also said it’s constructing the fund internally before launching it more broadly.
The decision to make use of Ethereum as a settlement layer makes the launch much more notable.
Did you recognize? A Treasury-backed repo is basically a short-term, secured loan. One party provides money, the opposite provides U.S. Treasury bonds as collateral, and each comply with reverse the trade later at a rather higher price. The difference between the 2 prices represents the interest.
So what exactly did JPMorgan bring to market?
MONY is an on-chain money market fund. Investors purchase fund shares backed by a conservative money portfolio of U.S. Treasuries and repurchase agreements fully collateralized by Treasury securities, with ownership represented as a token sent to the investor's Ethereum address.
The setup runs across two JPMorgan systems:
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Morgan Money is the interface through which qualified investors subscribe, redeem and manage positions.
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Kinexys Digital Assets is the tokenization layer that issues and manages the on-chain representation of those fund interests.
The idea is that tokenization can improve transparency, support peer-to-peer transfers, and open the door to using these positions as collateral in blockchain-based markets.
On the product side, MONY keeps the mechanics familiar, with each day reinvestment of dividends in addition to subscriptions and redemptions handled via Morgan Money using money or stablecoins.
Why “public Ethereum” is so interesting
JPMorgan wants to hook up with on-chain systems that counterparties already use, including stablecoins for settlement, custody and reporting workflows, analytics, compliance tools and distribution channels.
Ethereum can be where cryptocurrency money activity is concentrated. RWA.xyz values stablecoins at roughly $299 billion and forms the liquidity base with which tokenized funds repeatedly interact for settlement and money management.
On the cash-like assets side, tokenized treasuries total $8.96 billion. A money market-like product is correct round the corner here since it sits alongside the assets and behaviors that investors already use to park funds, move liquidity and deposit collateral.
Then there may be reach. The RWA.xyz network chart shows that Ethereum holds about two-thirds of the entire tokenized RWA value.
For a regulated product that should move between approved counterparties, this concentration is significant.
Did you recognize? “Public Ethereum” refers back to the Ethereum mainnet, the open network that anyone can use. Often “Ethereum” is used to mean the identical thing, but adding “public” makes it clear that it just isn’t a non-public, licensed, bank-operated Ethereum-style network.
When the money return goes on-chain
MONY's portfolio stays conservative, holding U.S. Treasuries and Treasury-backed repos with each day dividend reinvestment, while ownership is represented as a token on an investor's blockchain address. Once high-yield money is on-chain, it may possibly be integrated into other workflows.
1) 24/7 treasury operations
Positions can sit alongside stablecoin balances and other tokenized assets, with subscriptions and redemptions settled via Morgan Money and the Kinexys Digital Assets token layer. This creates a much tighter loop for institutions that already handle parts of their money and settlement flow on-chain.
2) Collateral mobility
JPMorgan emphasizes the potential for broader use of collateral, in addition to transparency and peer-to-peer portability. Collateral typically accumulates time and costs related to authorization checks, handovers, settlement times and transfer controls. A tokenized money market fund share provides permitted parties with a better technique to pass value, transact faster, and implement who can hold it through on-chain rules.
3) The money component for tokenized markets
Tokenized securities, funds and real-world assets (RWAs) still need a spot to park liquidity between trades and settlements. A high-yield money product on Ethereum naturally suits this role as on-chain markets proceed to grow.
The competitive landscape
MONY enters a lane already crowded with serious players.
BlackRock's BUIDL launched in 2024 as a tokenized fund on Ethereum. Recent updates align with features that institutions actually use, including each day dividends, 24/7 peer-to-peer transfers, broader network coverage, and moves toward collateral integration.
Franklin Templeton has pushed the identical idea with its on-chain money market fund, where BENJI tokens represent shares in FOBXX.
Then there may be the market infrastructure layer. BNY Mellon and Goldman Sachs have discussed approaches to record tokenization geared toward facilitating the movement of existing money market fund shares through institutional workflows.
The market appears to be within the midst of a rebuilding phase, with tokenized money products, improved transfer infrastructure and clearer ways to make use of collateral.
McKinsey's base case estimates that tokenized financial assets will amount to about $2 trillion by 2030, excluding crypto and stablecoins.
Meanwhile, Calastone estimates there are greater than $24 billion in tokenized assets under management as of June 2025, with money market and government bond funds making up a good portion.
Practicality and impact
MONY is bringing a regulated money product to public Ethereum, although access stays strictly restricted. It is being offered as a Rule 506(c) private placement to qualified investors, distributed through Morgan Money. The focus of the product is the suitability test and the investor base stays narrowly defined.
This structure determines how the token can move. A tokenized fund share can have embedded transfer rules, compliance gates, and operational controls that determine who can hold it, who can receive it, and the way redemption works in various scenarios. JPMorgan's risk disclosures related to product and blockchain usage suggest an institutional-level adoption focused on control and auditability.
The Ethereum mainnet is the launch location and usage patterns may change depending on economic conditions. Mainnet fees and operating expenses affect how often assets move and may influence decisions about scaling paths over time, including potential activity on Layer 2s as volumes grow.
It's value watching how this develops as the actual rhythm of the product emerges.
Did you recognize? Rule 506(c) is a U.S. securities exemption that enables an issuer to market a non-public offering to the general public provided all buyers are accredited investors and the issuer verifies that status.
What now?
Three signals will show how far this goes.
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First, whether MONY tokens will begin to emerge as usable collateral in broader on-chain workflows, akin to: B. Repo-style arrangements, secured borrowing, hedging and prime brokerage-style rails, consistent with JPMorgan's deal with “broader collateral usage.”
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Second, whether other global systemically vital banks (GSIBs) follow JPMorgan into public chains. If peers repeat the choice on the settlement level, it can signal that public infrastructure is becoming a number one venue for tokenized money products.
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Third, whether stablecoin settlement, including USDC (USDC) in reported coverage, expands beyond subscriptions and redemptions to secondary transfers and deeper integrations. This is the purpose at which distribution becomes more like a market infrastructure than a packaged fund product.
If MONY is accepted as collateral and is settled via secondary transfers and not only subscriptions and redemptions, it becomes a part of the settlement cycle and never an isolated money market fund.
If other GSIBs launch similar money products on the Ethereum mainnet, it might indicate a possible default location if the trend towards tokenized money continues.
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