In short
- Kraken’s parent Payward and Franklin Templeton are teaming up to bring traditional financial products – including tokenized equities and derivatives – to the blockchain network.
- The agreement includes the integration of Franklin Templeton’s BENJI tokenized money market into the Kraken platform as a collateral and investment management tool for institutional clients.
- The deal mirrors what’s happening on Wall Street, where Franklin Templeton also recently launched a dedicated crypto division through the acquisition of investment firm 250 Digital.
Payward, the parent company of crypto exchange Kraken, is owned by Franklin Templeton he announced on Tuesday a partnership that aims to move large amounts of financial assets on blockchain networks—a partnership that confirms how the boundaries between Wall Street and digital financial markets continue to erode.
The agreement pairs Franklin Templeton’s management of all wealth and tokenization expertise with Payward’s crypto-native business, in hand, and on the chain infrastructure, took tokenized equities, qualified in hand, quickly managed to harvest goods and opportunities directly for crypto liquidity institutions through Kraken on-counter and major projects.
Kraken is also planning to include BENJI, Franklin Templeton’s suite of tokenized money market funds, in its platform, where money can serve as collateral or money management tools for commercial institutions and clients looking for blockchain solutions that describe traditional treasury services.
“Payward and Franklin Templeton are planning a financial solution where there is no separation between traditional finance and digital assets,” said Payward and Kraken Co-CEO Arjun Sethi, in a statement. “The connection between the two countries is growing, and a partnership like this is a new class of products that would not have been possible even three years ago: a product that has the integrity of ten years of management and the stability of digital products.”
Payward a xStocks framework-which prepared more than $30 billion in the book since it was launched last year-searches for new funds that ended up on the chain with Franklin Templeton, making a way from one of the world’s largest asset managers tradeable on the blockchain.
The companies plan to make some of those products available to institutional investors and, in some cases, to resell Kraken users.
The announcement comes as Franklin Templeton accelerates its push into digital finance. The company recently launched a dedicated cryptocurrency division, Franklin Crypto, and plans to acquire cryptocurrency investment company 250 Digital.
“The focus should be on making the on-chain economy work better for market participants once they’re there,” said Sandy Kaul, head of digital and innovation at Franklin Templeton, in a statement. “By expanding BENJI’s services and exploring new products, our work with Payward reflects the growing need for digital clients and organizations with solutions that are tailored to the evolving financial landscape.”
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