Circle plans to integrate the Hashnote TMMF fund under Bermuda's regulatory framework, thereby enhancing its connection with USDC using the DABA license.
Hashnote Fund and Its Regulation
Circle announced on March 13 plans to bring its Hashnote Tokenized Money Market Fund (TMMF) under Bermuda's regulatory oversight through the company's existing Digital Assets Business Act (DABA) license. Hashnote, acquired by Circle in January 2025, is the issuer of USDY, the largest tokenized treasury and money market fund with a total value locked (TVL) of $900 million. Previously, the fund was valued at $1.9 billion as of January 7.
Tokenized Asset Market
The market of tokenized assets is rapidly evolving. In August 2024, Colin Butler from Polygon stated that real-world assets have the potential to become a $30 trillion market due to improved liquidity and transparency. By the end of 2024, tokenized US Treasurys are expected to exceed a $3 billion market cap.
Institutional Investments and Tokenization
Institutional investors are actively participating in the design of tokenized assets, contributing to the market cap rise of these assets to $18.1 billion by 2024. This process helps make previously illiquid markets like real estate and precious metals more liquid and opens up new opportunities for using blockchain technology.
The planned integration of Hashnote TMMF fund under Bermuda's regulatory control marks a significant step for Circle in advancing tokenized assets and strengthens its position in the digital asset market.
