Franklin Templeton Expands Tokenized Money Market Fund on XRP Ledger
TREE NEWS reports: Franklin Templeton has minted approximately $150 million worth of additional shares in its tokenized money market fund (sgBENJI) on the XRP Ledger, with all new shares transferred to a single wallet. The wallet now holds nearly 193 million sgBENJI shares, valued at about $200 million based on a transaction price of roughly $1.039 per share—a sharp increase from the previous ~48 million shares.
Concentration Raises Questions, but Signals Institutional Appetite
The concentration of new shares in one wallet is notable. While it could reflect a single large investor or an omnibus account managed by a custodian, it underscores the growing institutional demand for tokenized cash management products. Franklin Templeton’s sgBENJI fund, part of its Benji platform, offers yield-bearing exposure to U.S. Treasury bills, settled on-chain. The XRP Ledger’s low fees and fast settlement make it an attractive venue for such large transfers.
This move is part of a broader trend of asset managers tokenizing traditional funds to tap into blockchain-based liquidity and 24/7 settlement. BlackRock’s BUIDL fund on Ethereum, for instance, has also seen significant inflows. Franklin Templeton’s choice of XRP Ledger diversifies the ecosystem and highlights the network’s enterprise focus.
Implications for RWA Tokenization
The $150 million minting demonstrates that tokenized money market funds are moving beyond proof-of-concept into meaningful scale. It also raises operational considerations: large single-wallet holdings could pose concentration risks if the wallet is compromised or if the holder decides to redeem en masse. However, the fund’s structure likely includes safeguards and the underlying assets are held with a custodian.
For the XRP Ledger, this is a significant vote of confidence. The network has been courting institutional use cases, and hosting a nine-figure tokenized fund adds credibility. It may attract other asset managers looking for a low-cost, scalable chain for tokenized securities.
Forward Look
As more traditional finance giants tokenize funds, the competition among blockchains to host these assets will intensify. Ethereum remains dominant, but alternatives like XRP Ledger, Stellar, and Avalanche are gaining traction. Franklin Templeton’s continued expansion on XRP Ledger suggests a long-term commitment. Investors should watch for further minting activity and whether the concentrated wallet diversifies over time. The growth of sgBENJI also signals that tokenized T-bills are becoming a core building block for DeFi yield strategies and collateral.
