UBS, Chainlink execute first onchain tokenized fund redemption in $100T market. The transaction involved the tokenized UBS USD Money Market Investment Fund Token (uMINT) on Ethereum with DigiFT as the on-chain distributor.

UBS Asset Management’s tokenization unit and decentralized oracle provider Chainlink executed what they describe as the first live, end‑to‑end onchain subscription and redemption of a tokenized fund on a public blockchain, using the UBS USD Money Market Investment Fund Token (uMINT) on Ethereum. DigiFT, a regulated digital assets platform, acted as the on‑chain distributor, routing and processing the investor’s subscription and subsequent redemption order through a smart contract workflow that follows Chainlink’s Digital Transfer Agent (DTA) technical standard. According to UBS, this was a production (not pilot) transaction that demonstrated a full fund lifecycle onchain—order intake, execution, settlement, and data synchronization between blockchain and traditional systems—using uMINT, a tokenized money market fund built on Ethereum distributed ledger technology. The DTA standard defines how fund shares and transfer agent functions can be encoded in smart contracts, enabling automation of processes that in traditional fund administration are manual and fragmented. By handling both subscription and redemption of uMINT onchain, the workflow shows how tokenized funds could be operated with lower operational friction, faster settlement, and more transparent record‑keeping while remaining integrated with regulated fund structures. The move builds on earlier pilots in which UBS, Chainlink, and Swift tested tokenized fund subscriptions and redemptions using Swift’s ISO 20022 messages and Chainlink infrastructure to bridge between banks’ existing systems and blockchains. Those pilots, run under the Monetary Authority of Singapore’s Project Guardian, focused on technical interoperability; this new uMINT transaction advances that work into a live market setting with DigiFT as distributor, pointing toward how a $100 trillion‑plus global fund industry could gradually migrate parts of its operations to tokenized, programmable rails without abandoning existing regulatory and banking infrastructure. The initiative is part of UBS Tokenize’s broader strategy to apply tokenization across bonds, funds, and structured products, positioning major financial institutions to experiment with onchain fund distribution and secondary market mechanisms in a controlled, compliant framework.

✨ AI-generated background, compiled from web sources — not editorial content.

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