HashKey Exchange and Franklin Templeton have partnered to launch the tokenized Franklin OnChain U.S. Government Liquidity Fund in Asia, a move that expands institutional access to tokenized real-world assets (RWAs) in the region.

The collaboration brings one of Franklin Templeton's tokenized investment products to a broader audience in Asia, allowing eligible users to access a blockchain-based U.S. government liquidity fund through HashKey's digital asset ecosystem. The launch reflects growing demand for tokenized versions of traditional financial products.

The fund itself is not new to blockchain rails. Franklin Templeton, a global asset manager with more than $1 trillion in assets under management, launched the OnChain U.S. Government Liquidity Fund in 2021 as one of the first U.S.-registered funds to use a public blockchain to process transactions and record share ownership, starting on Stellar and later expanding to networks including Polygon, Arbitrum, and Avalanche. The fund invests primarily in U.S. government securities, cash, and repurchase agreements.

Tokenized Fund Available Through HashKey Earn

The Franklin OnChain U.S. Government Liquidity Fund will be distributed via HashKey Earn, the exchange's platform for yield-generating and investment products.

Tokenized funds use blockchain technology to represent ownership of traditional assets, offering greater transparency, operational efficiency, and accessibility. By making the fund available through HashKey's infrastructure, the two companies aim to broaden access to institutional-grade financial products in Asia.

The distribution channel also carries regulatory significance: HashKey Exchange operates as a licensed virtual asset trading platform in Hong Kong, where the Securities and Futures Commission began licensing retail-accessible crypto exchanges in 2023 and has since issued guidance covering the tokenization of investment products.

The partnership also highlights the continued growth of the real-world asset (RWA) tokenization market.

LATEST: HashKey Exchange and Franklin Templeton are launching the tokenized Franklin OnChain U.S. Government Liquidity Fund in Asia via HashKey's Earn channel. pic.twitter.com/j4vUvyHSmQ

— Cointelegraph (@Cointelegraph), August 25, 2026

Tokenization Momentum Continues

The launch of the Franklin OnChain Fund underscores the increasing convergence of traditional finance and blockchain technology.

Franklin Templeton's fund is part of a wider shift in which large asset managers have put money-market-style products on-chain, most notably BlackRock, whose tokenized U.S. dollar institutional liquidity fund debuted in March 2024. Tokenized U.S. Treasury products have since grown into a multi-billion-dollar market, according to industry trackers such as RWA.xyz, as issuers extend distribution through regulated digital asset platforms.

As more financial institutions tokenize government securities and other real-world assets, investors are gaining access to regulated investment products through digital asset platforms. Market participants will be watching whether additional tokenized funds are introduced as demand for blockchain-based financial products continues to expand, alongside how regulatory frameworks for tokenized products develop across Asian markets.