One of the most popular US asset management firms named Franklin Templeton Investments recently filed a preliminary prospectus with the United States Securities and Exchange Commission (SEC) for a government money market fund with a focus on blockchain-based shares.
As the September 3 SEC filing notes, the US asset management firm is interested in a fund which will make investments in a range of products – including US government securities, repurchase agreements and blockchain-based shares. The document also notes that the fund will not invest in cryptocurrencies.
What’s interesting, as the coming altcoin news show, is that Franklin Templeton has chosen the Stellar network in order to record the ownership of the fund’s shares. The investment manager behind the fund ostensibly believes that blockchain-based shares are meant to boost transparency and reduce the settlement times – plus include other benefits to shareholders.
In the document, we can also see that clients will be able to buy and redeem shares of the fund through a special app where each investor will receive a blockchain wallet as well as a pair of public and private keys after an account with the US asset management firm is created.
Currently, it is said that the fund will invest around 99.5% of its total assets in government securities, cash and repurchase agreements. All of these will be collateralized fully by the government securities or cash.
This summer has been all about blockchain in major crypto firms. As the latest cryptocurrency news show, major global firms such as the Stellar Foundation, Ethereum Foundation and Fidelity started supporting a new blockchain accelerator program called Startup Studio. This project is meant to provide workshops to blockchain startups and help them enhance product design, law and engineering as well as smart contract development, finance and hiring.
Meanwhile, the altcoin news before showed that Stellar has partnered with IBM in an attempt to create a real-time, controlled global payment network. The deployment of the Stellar protocol will allegedly allow IBM Blockchain World Wire to serve as a network provider for international payments.
The news about this US asset management firm investing in Stellar in an attempt to create a government money market have been all over the most popular and best cryptocurrency news sites.
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