Goldman Sachs will give crypto firms access to its roughly $100 billion Treasury fund, FTIXX, through the settlement network Lynq. The move adds a traditional money market product to a settlement network used by digital asset companies, and it does so without converting the fund into a token.

Under the arrangement, Lynq will offer FTIXX as an outside fund, meaning the fund will not be tokenized. tZERO Securities, an SEC-registered broker-dealer, will handle trades. The structure keeps fund shares outside a public token model while placing access inside a network that crypto trading desks already use.

A Different Route From Tokenized Funds

The Goldman Sachs structure differs from tokenized offerings such as BlackRock's BUIDL and Franklin Templeton's BENJI, which represent fund shares as blockchain-based tokens that can be transferred and settled onchain. The bank will keep FTIXX in its existing form and use Lynq as the distribution channel, giving firms familiar fund exposure without adding token custody The contrast points to two routes now taking shape for institutional cash: tokenized fund shares that settle onchain, and traditional funds distributed into crypto-native networks through regulated intermediaries.

The plan arrives as large finance and crypto firms continue testing regulated cash products. Recent stablecoin rule proposals show how U.S. agencies continue to shape the market for dollar-linked products.

Lynq Targets Idle Institutional Cash

For Lynq users, FTIXX provides a place to park cash between trades. Firms can seek Treasury fund income while keeping access to their money for future settlement needs. These firms often need to move funds quickly after market moves or client flows, and money market vehicles of this kind are widely used by institutions to hold cash in short-term government debt while keeping it available on short notice. Because crypto markets operate around the clock, the need for quickly accessible cash does not follow traditional banking hours.

Lynq CEO Jerald David said clients had asked for a Treasury asset with a different yield profile. His comments came as new CFTC crypto guidance placed more attention on tokenized assets and onchain records. The same debate now shapes how banks, brokers, and crypto venues connect regulated assets with faster settlement tools.

Access Comes With Conditions

Before adding FTIXX, Lynq had to update its technology, limit access to U.S. clients, and connect with Mosaic. Clients must also pass tZERO onboarding and eligibility checks. As a result, the launch's early footprint is tied to onboarding completion among U.S. institutional clients rather than open access.

The network runs on a private, permissioned Avalanche Layer 1 blockchain. It has onboarded more than 30 institutional digital asset firms and holds more than $89 million in assets.

FTIXX becomes Lynq's second asset and its first outside fund. The launch comes as payment companies pursue market access, including a RedotPay IPO push linked to a stablecoin card and cross-border services.

The arrangement allows Goldman Sachs to reach crypto firms without building a new blockchain-based fund. Lynq, for its part, adds a well-known Treasury fund to the same daily workflow its users rely on to move capital.

Source: CoinCentral