Bybit to Accept Franklin Templeton Fund Shares as Collateral
Eligible institutions can pledge tokenized money-market fund shares through Benji to access USDT or USDC credit for crypto trading without transferring the assets to Bybit.
Bybit will accept Franklin Templeton’s tokenized money-market fund shares as collateral for eligible institutional crypto trading, allowing clients to access credit without moving the assets to the exchange.
Institutional investors can pledge shares issued through Franklin Templeton’s Benji platform and receive credit denominated in Tether (USDT) or USD Coin (USDC) for trading on Bybit. The underlying fund assets will remain in off-exchange custody, while investors retain their fund holdings.
The structure allows institutions to use the same assets for both money-market fund exposure and crypto-trading finance, without selling the shares or transferring them to Bybit.
The partnership expands the use of tokenized money-market funds beyond holding and settlement. Franklin Templeton’s Benji platform had $1.98 billion in assets under management in April, while the market’s largest product, BlackRock’s BUIDL fund, had about $2.2 billion and was already accepted as collateral by several crypto platforms.
