UBS Launches Tokenized Investment Fund uMINT on Ethereum

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In a landmark move for traditional finance’s integration with blockchain technology, UBS — Switzerland’s largest financial institution — has officially launched uMINT, its first tokenized investment fund built on the Ethereum blockchain. This innovative money market fund leverages distributed ledger technology (DLT) to offer a more efficient, transparent, and accessible investment vehicle, distributed through authorized partners.

The launch of uMINT marks a significant milestone in the evolution of real-world asset (RWA) tokenization, reinforcing UBS’s leadership in bridging traditional financial systems with decentralized infrastructure.

UBS Tokenize Expands Tokenization Capabilities

UBS first signaled its commitment to blockchain innovation in October 2023 with a pilot program to launch a tokenized money market fund on Ethereum. This initiative was part of the Monetary Authority of Singapore’s (MAS) Project Guardian, a collaborative effort aimed at exploring the potential of decentralized finance (DeFi) in wholesale funding markets.

As part of this pilot, UBS tested the issuance of Variable Capital Company (VCC) funds directly on a digital asset network — a move designed to streamline fund distribution and enable secondary market trading of fund shares. The goal? To enhance operational efficiency, reduce settlement times, and open new avenues for investor access.

Building on this foundation, UBS Asset Management has now rolled out uMINT, its first live tokenized investment product. Powered by the firm’s proprietary UBS Tokenize platform, uMINT allows institutional investors to gain exposure to a secure, regulated money market fund through blockchain-native infrastructure.

👉 Discover how blockchain is transforming traditional finance with next-gen investment solutions.

UBS Tokenize supports the full asset lifecycle — from origination and issuance to distribution and custody — with an initial focus on tokenizing bonds, funds, and structured products. By digitizing these assets, UBS aims to unlock liquidity, reduce intermediaries, and improve settlement finality in financial markets.

Thomas Kaegi, Head of UBS Asset Management in the Asia-Pacific region, emphasized growing client demand:

“We are seeing increasing investor interest in tokenized financial assets across asset classes. Through our global reach and collaboration with industry peers and regulators, we’re now able to deliver innovative solutions that meet evolving market needs.”

This strategic push positions UBS as a pioneer in the institutional adoption of blockchain, setting a precedent for other financial giants to follow.

The Rise of Real-World Asset (RWA) Tokenization

The launch of uMINT arrives amid rapid growth in the tokenized real-world assets (RWA) sector. According to data from RWA.xyz, the total value of on-chain RWAs has reached $3.9 billion** — excluding private credit — with **Ethereum** emerging as the dominant blockchain for asset tokenization, hosting over **$3 billion in tokenized assets.

Among these, U.S. Treasury securities lead the market with approximately $2.4 billion in on-chain representation. Major asset managers are driving this trend:

These developments highlight a broader shift: traditional finance is embracing blockchain not as a speculative frontier, but as a core infrastructure upgrade.

What Is RWA Tokenization?

Real-world asset (RWA) tokenization refers to the process of converting physical or legally recognized off-chain assets — such as bonds, real estate, commodities, or funds — into digital tokens on a blockchain. These tokens represent ownership and can be traded, transferred, or used as collateral within decentralized ecosystems.

This innovation enables:

By bringing regulated financial products like uMINT onto public blockchains, institutions are laying the groundwork for a hybrid financial system where traditional assets flow seamlessly within decentralized protocols.

👉 Explore how tokenized assets are reshaping global finance — from bonds to funds.

Why Ethereum Is the Leading Chain for RWA

Despite competition from layer-1 alternatives and enterprise blockchains, Ethereum remains the preferred platform for institutional-grade tokenization. Its robust security model, extensive developer ecosystem, and growing support for enterprise compliance tools make it uniquely suited for regulated financial applications.

Moreover, Ethereum’s transition to proof-of-stake and ongoing scalability upgrades via rollups have addressed earlier concerns about energy use and transaction costs — making it increasingly viable for high-value asset tracking.

The success of uMINT on Ethereum underscores the network’s role as a trusted settlement layer for real-world financial instruments.

FAQ: Understanding UBS’s uMINT and Tokenized Funds

Q: What is uMINT?
A: uMINT is UBS’s first tokenized money market fund, built on the Ethereum blockchain. It offers institutional investors exposure to a regulated, short-term fixed-income portfolio through digital tokens.

Q: How does tokenization benefit investors?
A: Tokenization enables faster settlements (potentially real-time), lower operational costs, 24/7 market access, and opportunities for fractional ownership and programmable finance features.

Q: Is uMINT available to retail investors?
A: Currently, uMINT is offered through authorized distribution partners and is primarily targeted at institutional and qualified investors.

Q: How is uMINT different from a crypto yield product?
A: Unlike speculative DeFi yield farms, uMINT is a regulated investment fund backed by real-world short-term securities. It prioritizes capital preservation and compliance over high-risk returns.

Q: What role does UBS Tokenize play?
A: UBS Tokenize is the internal platform that powers the end-to-end lifecycle of tokenized assets — from issuance and custody to transfer and redemption — ensuring regulatory alignment and operational integrity.

Q: Are tokenized funds safe?
A: When issued by regulated institutions like UBS and backed by audited assets, tokenized funds can be highly secure. However, investors should always assess counterparty risk, smart contract audits, and regulatory frameworks.

The Future of Finance: TradFi Meets DeFi

The entry of financial titans like UBS, BlackRock, and Franklin Templeton into the tokenized asset space signals a turning point. What was once considered experimental is now becoming mainstream.

As more institutions tokenize bonds, equities, and funds, we’re moving toward a future where:

UBS’s uMINT is not just a product launch — it’s a blueprint for the next generation of finance.

👉 See how leading institutions are using blockchain to redefine investing.

With Ethereum serving as the backbone and regulatory frameworks gradually adapting, the convergence of TradFi and DeFi is no longer theoretical. It’s happening now — one tokenized fund at a time.

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