Franklin Templeton, a leading asset management firm, announced the expansion of its tokenized fund, Franklin OnChain U.S. Government Money Fund (FOBXX), to the Aptos blockchain, allowing institutional investors to access the fund through the Benji Investments platform.

FOBXX's Role in Innovation

Launched in 2021, FOBXX was the first U.S.-registered mutual fund to adopt blockchain technology, initially utilizing the Stellar network. Its shares are tokenized and represented by the BENJI token, maintaining equal value. The fund is regulated under the 1940 Act, investing at least 99.5% of its assets in government securities and financial instruments collateralized by these securities. With the Aptos expansion, FOBXX now operates on five different blockchains, including Avalanche, Arbitrum, Stellar, and Polygon, making digital asset management easier for investors as they can hold their wallets on the Aptos network upon request.

Reasons for Choosing Aptos

Aptos was chosen for this expansion due to its compatibility with Franklin Templeton’s Benji blockchain-integrated system. Bayston highlighted the network's unique characteristics, which meet the firm's rigorous suitability standards. Aptos has become one of the top 25 digital assets by market capitalization since its launch in October 2022, with daily transaction volumes peaking at over 3 million.

Strategic Acquisition and Plans in Japan

On October 3, Aptos Labs announced its agreement to acquire HashPalette Inc., a subsidiary of HashPort Inc. This acquisition will migrate the Palette blockchain and HashPalette’s applications to the Aptos Network. Aptos Labs aims to leverage HashPalette's business relationships with major Japanese companies such as KDDI to enter the Japanese market and promote Web3 adoption across entertainment, gaming, and digital asset sectors. Holders of Palette Chain’s governance token, PLT, will be able to exchange their tokens for Aptos’s native token, APT, starting in late November.

The expansion of the FOBXX fund to Aptos and the strategic acquisition of HashPalette highlight Franklin Templeton and Aptos Labs' commitment to integrating widely applicable blockchain solutions, supporting the growth of the digital economy and innovative ecosystem in Japan.