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Franklin Templeton Pushes Deeper Into Tokenized Finance Boom

Franklin Templeton Pushes Deeper Into Tokenized Finance Boom

The world’s largest asset managers are rapidly moving beyond crypto experimentation and deeper into building blockchain infrastructure directly into the global financial system.

Summary:

  • Tokenized real-world assets surged to roughly $34 billion globally.
  • Franklin Templeton expanded its BENJI tokenization platform into Asia.
  • Regulatory clarity in the U.S. and Europe is accelerating institutional adoption.

Over the past two weeks, a series of major institutional developments signaled that tokenization, stablecoins, and onchain settlement are increasingly becoming part of mainstream capital markets architecture rather than niche digital asset products.

Franklin Templeton Expands Onchain Infrastructure Into Asia

One of the clearest signals came from Franklin Templeton, the roughly $1.74 trillion asset manager, which announced a strategic partnership with regulated digital asset exchange DigiFT on May 22.

According to Marketsmedia, the partnership brings Franklin Templeton’s BENJI Technology Platform into Singapore and Hong Kong, extending tokenized access to institutional-grade U.S. government securities across Asia.

BENJI has increasingly become one of the most closely watched tokenization systems in traditional finance. The platform allows investors to hold blockchain-based representations of real-world financial assets while enabling continuous intraday yield accrual and near-instant settlement around the clock.

Rather than relying on legacy banking hours or delayed clearing systems, tokenized assets on BENJI can settle continuously onchain.

Analysts said the move reflects growing institutional demand for programmable financial infrastructure capable of operating 24/7 while still maintaining regulatory oversight and exposure to traditional yield-bearing instruments.

Tokenized Assets Enter Institutional Scale

The broader tokenization market has also expanded dramatically.

A new analysis published by a16z this week showed tokenized real-world assets excluding stablecoins have now surpassed roughly $34 billion globally, representing nearly a tenfold increase compared to mid-2024 levels.

The strongest growth continues coming from tokenized U.S. Treasury products.

Major firms including BlackRock and Franklin Templeton have built large-scale blockchain-based Treasury pipelines allowing institutions to access traditional fixed-income yields directly through tokenized structures.

That shift is fundamentally changing how institutions view blockchain infrastructure.

Instead of treating crypto as a speculative asset class alone, many large financial firms increasingly see tokenization as a settlement and efficiency layer capable of modernizing the operational plumbing of global finance.

The migration is especially attractive because traditional settlement systems remain fragmented, expensive, and slow by modern technological standards.

Franklin Templeton Launches Dedicated Crypto Division

Franklin Templeton’s expansion has also moved beyond tokenization infrastructure alone.

The company recently completed the acquisition of 250 Digital, a liquid crypto investment management business previously associated with CoinFund. The deal officially established Franklin Crypto, a dedicated division focused on active digital asset management and venture investment across blockchain infrastructure markets.


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Notably, part of the acquisition consideration was reportedly settled using Franklin Templeton’s own BENJI tokens, further reinforcing how deeply tokenized systems are becoming integrated into institutional operations.

The move positions Franklin among a growing list of traditional finance giants building internal crypto divisions instead of relying solely on external partnerships.

Regulation Stops Being the Main Barrier

The acceleration in institutional activity also reflects a major shift in regulatory sentiment globally.

In the United States, policymakers have increasingly moved away from the aggressive “regulation-by-enforcement” approach that dominated previous years. Legislative initiatives such as the GENIUS Act have helped establish clearer frameworks surrounding stablecoins and digital asset infrastructure.

At the same time, Europe’s fully implemented MiCA framework has provided large institutions with a more predictable legal environment for crypto-related products across the Eurozone.

That clarity is unlocking significant institutional expansion, particularly in financial hubs such as Spain, Singapore, Hong Kong, and broader European markets.

Analysts say the combination of regulatory certainty, tokenized yield products, and stablecoin settlement systems is now creating the first realistic institutional foundation for blockchain-based capital markets at global scale.

TradFi Stops Asking “If” Crypto Matters

The broader sentiment shift across Wall Street has become increasingly visible.

Large financial institutions are no longer primarily debating whether crypto survives as an asset class. Instead, competition is increasingly centered around who controls the infrastructure rails that may eventually move tokenized capital, digital dollars, and onchain securities globally.

The transition remains gradual, but the direction is becoming clearer.

Stablecoins are evolving into payment infrastructure. Tokenized Treasuries are becoming institutional collateral tools. Asset managers are integrating blockchain settlement into existing operations rather than building isolated crypto experiments.

Analysts increasingly describe the current phase not as crypto replacing traditional finance, but as traditional finance itself becoming progressively onchain.


The information presented in this article is intended for informational purposes only and should not be interpreted as financial, investment, or trading advice. Coinspress.com does not promote or advocate for any particular investment strategy, asset, or cryptocurrency project. Cryptocurrency markets are highly volatile and unpredictable – always perform your own research and seek guidance from a qualified financial professional before making any investment decisions.

Author
Alexander Zdravkov

Reporter at CoinsPress

Alexander Zdravkov is a market analyst and crypto journalist with interests in economics, broader financial markets and digital assets. His journey into crypto began more than four years ago, driven by a fascination with the rapid evolution of blockchain technology and the transformative potential of decentralized finance. He began analyzing market cycles and identifying emerging trends before they reach the mainstream. He holds a degree in International Relations - a background that helped shape his broader perspective on global economics, geopolitics, and the interconnected nature of modern financial markets. Whether covering the latest developments in the crypto sector or exploring broader macroeconomic themes, Alexander focuses on giving readers context rather than simply repeating headlines. During his career, he has authored more than 10,000 articles covering cryptocurrencies, traditional finance, and global market developments. His work spans everything from Bitcoin and altcoins to macroeconomic trends influencing risk assets worldwide.

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