The first U.S.-registered mutual fund to process transactions and record share ownership on a public blockchain introduces new features
SAN MATEO, Calif.--(BUSINESS WIRE)--Franklin Templeton today announces that shares of the Franklin OnChain U.S. Government Money Fund (FOBXX) (the “Fund”) are available for transfer from one shareholder to another shareholder (“peer-to-peer”) on the public blockchain.
The Franklin OnChain U.S. Government Money Fund was launched in 2021 and is the first U.S.-registered fund to use a public blockchain to process transactions and record share ownership. One share of the Fund is represented by one BENJI token and the Fund’s transfer agent maintains the official record of share ownership via a proprietary blockchain-integrated system that utilizes blockchain technology for transaction activity. As of March 31, 2024, the Fund held over $360 million in assets under management.
“We are excited that BENJI token holders will have the ability to transfer shares amongst each other,” said Roger Bayston, Head of Digital Assets at Franklin Templeton. “Eventually, we hope for assets built on blockchain rails, such as the Franklin OnChain U.S. Government Money Fund, to work seamlessly with the rest of the digital asset ecosystem.”
The Fund offers a competitive yield and is a regulated 1940 Act fund that invests at least 99.5 percent of its total assets in government securities, cash and repurchase agreements collateralized fully by government securities or cash. The Fund’s investment objective is to provide investors with as high a level of current income as is consistent with the preservation of shareholders’ capital and liquidity and aims to maintain a stable $1.00 share price.
Individual investors can gain exposure to the Fund in digital wallets through the Benji Investments app, available in mobile app stores for Android and iOS devices. Institutional investors can gain exposure through the Benji Investments app or the Benji Institutional web portal.
About Franklin Templeton
Franklin Resources, Inc. [NYSE:BEN] is a global investment management organization with subsidiaries operating as Franklin Templeton and serving clients in over 150 countries. Franklin Templeton’s mission is to help clients achieve better outcomes through investment management expertise, wealth management and technology solutions. Through its specialist investment managers, the company offers specialization on a global scale, bringing extensive capabilities in fixed income, equity, alternatives and multi-asset solutions. With more than 1,500 investment professionals, and offices in major financial markets around the world, the California-based company has over 75 years of investment experience and over $1.6 trillion in assets under management as of March 31, 2024. For more information, please visit franklintempleton.com and follow us on LinkedIn, Twitter and Facebook.
You could lose money by investing in the fund. Although the fund seeks to preserve the value of your investment at $1.00 per share, it cannot guarantee it will do so. An investment in the fund is not a bank account and is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. The fund’s sponsor is not required to reimburse the fund for losses, and you should not expect that the sponsor will provide financial support to the fund at any time, including during periods of market stress. Although the fund invests in U.S. government obligations, an investment in the fund is neither insured nor guaranteed by the U.S. government.
All investments involve risk, including loss of principal. There are risks associated with the issuance, redemption, transfer, custody, and record keeping of shares maintained and recorded primarily on a blockchain. For example, shares that are issued using blockchain technology would be subject to risks, including the following: blockchain is a rapidly-evolving regulatory landscape, which might result in security, privacy or other regulatory concerns that could require changes to the way transactions in the shares are recorded. The fund's yield may be affected by changes in interest rates and changes in credit ratings. These and other risks are discussed in the fund’s prospectus.
Investors should carefully consider a fund’s investment goals, risks, charges and expenses before investing. To obtain a summary prospectus and/or prospectus, which contains this and other information, talk to your financial professional, call us at (800) DIAL BEN/342-5236 or visit franklintempleton.com. Please carefully read a prospectus before you invest or send money.
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Contacts
Franklin Templeton Corporate Communications:
Travis Fishstein, (917) 822-1857, travis.fishstein@franklintempleton.com