Bybit accepts Franklin Templeton tokenized fund as trading collateral.

TechFlow reports that on September 29, according to Cointelegraph, crypto exchange Bybit announced it will accept Franklin Templeton's tokenized money market fund as collateral for leveraged trading. Under this initiative, eligible institutional investors can pledge fund shares via Franklin Templeton’s Benji platform to obtain credit lines denominated in USDT or USDC stablecoins, while the underlying assets remain custodied off-chain without requiring transfer to the exchange.

This move allows institutional users to finance leveraged trades through tokenized shares while continuing to hold their fund positions and accrue yields. Additionally, both parties plan to develop a tokenized investment product targeted at users of Bybit and Mantle network wallets, with further details yet to be disclosed. The global tokenized money market fund market currently surpasses $9 billion, with top-tier products such as BlackRock’s BUIDL already widely adopted across numerous platforms.