Amundi Pioneers European Tokenization: First Euro Money Market Fund Launches on Ethereum

Introduction: A Watershed Moment for European Crypto Adoption

In a landmark development bridging traditional finance with blockchain technology, Amundi—Europe’s largest asset manager—has launched the first tokenized share class for a euro money market fund on the Ethereum network. The historic first transaction was recorded on November 4, marking a significant strategic move by a traditional finance titan into the digital asset space. This hybrid rollout allows investors to choose between the conventional fund structure and a new blockchain-based version, offering a flexible pathway into tokenized finance. Developed in collaboration with CACEIS, a European asset-servicing group, this initiative leverages Ethereum’s robust infrastructure to streamline operations and expand investor access. With Amundi managing approximately 2.3 trillion euros ($2.6 trillion) in assets and serving over 100 million retail clients, this launch signals a substantial institutional endorsement of blockchain’s potential to reshape fund management.

The Amundi-CACEIS Partnership: Building the Tokenization Infrastructure

The successful launch of Amundi’s tokenized fund was made possible through a strategic collaboration with CACEIS, which provided the essential technological backbone. CACEIS supplied the tokenization infrastructure, investor wallets, and the digital order system necessary for processing subscriptions and redemptions. This partnership underscores the importance of specialized expertise in bridging traditional finance with blockchain solutions. By handling the complex technical requirements, CACEIS enabled Amundi to focus on its core competency—asset management—while ensuring the tokenized fund operates securely and efficiently. This model of collaboration between an asset manager and a dedicated service provider could become a blueprint for future tokenization projects in Europe, demonstrating how established financial institutions can integrate blockchain technology without overhauling their existing operations.

Operational Advantages: How Tokenization Enhances Fund Efficiency

According to Amundi and CACEIS, tokenizing the fund delivers tangible operational benefits that address longstanding inefficiencies in traditional finance. The process streamlines order processing, reducing the time and administrative overhead associated with subscriptions and redemptions. Furthermore, it widens access to new investor channels, potentially attracting a broader demographic of tech-savvy investors who prefer blockchain-based assets. Perhaps most significantly, the tokenized share class enables 24/7 trading, breaking free from the constraints of traditional market hours. This around-the-clock accessibility aligns with the global, non-stop nature of digital asset markets and provides investors with greater flexibility. These efficiency gains highlight how tokenization can optimize backend processes while improving the front-end user experience.

Fund Composition: A Closer Look at the Underlying Assets

Amundi’s tokenized fund is not a speculative crypto asset but a regulated money market fund investing in high-quality, short-term debt instruments. The fund holds short-term, high-quality euro-denominated debt, primarily comprising money-market instruments and overnight repurchase agreements with European sovereigns. This composition emphasizes stability and liquidity, core characteristics of money market funds. By tokenizing this type of fund, Amundi brings the safety and reliability of traditional European debt instruments onto the blockchain. This approach may reassure conservative investors who are curious about blockchain technology but hesitant to venture into more volatile crypto assets. It represents a pragmatic first step into tokenization, using a low-risk product to demonstrate the technology’s utility.

Global Context: BlackRock and Franklin Templeton’s Tokenization Traction

Amundi’s entry into tokenized funds occurs within a rapidly expanding global market, notably led by major U.S. asset managers. Data from RWA.xyz shows that tokenized money market funds investing in U.S. Treasurys have experienced significant growth in 2025. BlackRock’s onchain money market product currently holds $2.3 billion in tokenized assets, while Franklin Templeton’s money market fund has accumulated over $826 million in assets. Both institutions have aggressively expanded their tokenized offerings across multiple blockchains. On November 12, Franklin Templeton announced that its tokenization platform joined the Canton Network, enabling its money market fund to operate within a permissioned ecosystem designed for financial institutions. Similarly, BlackRock has extended its tokenized fund beyond Ethereum, adding support for Aptos, Arbitrum, Avalanche, Optimism, and Polygon. This multi-chain strategy reflects a broader industry trend toward interoperability and blockchain diversification.

Market Growth and Regulatory Scrutiny: The BIS Perspective

The tokenized fund market has witnessed explosive growth recently, as documented by official institutions. A Bank for International Settlements bulletin released on Wednesday noted that tokenized money market funds had climbed to $9 billion in value by the end of October, up from approximately $770 million at the end of 2023. This represents more than a tenfold increase in less than two years, underscoring accelerating institutional adoption. However, the BIS report also sounded a cautionary note, warning that the growing use of tokenized Treasury portfolios as collateral could introduce new operational and liquidity vulnerabilities to the financial system. This dual perspective—acknowledging rapid growth while highlighting potential risks—reflects the balanced approach regulators are taking toward this emerging asset class. As tokenization gains momentum, regulatory oversight is likely to intensify to ensure financial stability.

Strategic Implications: What Amundi’s Move Means for Crypto Markets

Amundi’s launch carries profound implications for both traditional finance and cryptocurrency ecosystems. As Europe’s largest asset manager, Amundi lends considerable legitimacy to blockchain-based financial products. Their choice of Ethereum reinforces the network’s position as the leading platform for institutional tokenization projects. The hybrid model—offering both traditional and tokenized versions—provides a comfortable transition path for cautious institutional investors while still embracing innovation. This approach may encourage other European asset managers to explore similar initiatives, potentially triggering a wave of tokenization across the continent. Unlike some crypto-native projects that operate entirely outside traditional systems, Amundi’s model demonstrates how blockchain can complement rather than replace existing financial infrastructure.

Comparative Analysis: Euro vs. Dollar-Denominated Tokenized Funds

Amundi’s fund introduces an important geographical and currency diversification to the tokenized fund landscape. While BlackRock and Franklin Templeton have focused primarily on U.S. Treasury products denominated in dollars, Amundi has launched a euro-denominated fund investing in European debt instruments. This distinction matters for several reasons. It provides European investors with familiar currency exposure while still benefiting from blockchain efficiencies. It also diversifies the types of underlying assets available in tokenized form beyond U.S. Treasurys. From a market structure perspective, Amundi’ collaboration with CACEIS represents a European-centric approach to tokenization infrastructure, whereas U.S. firms have often partnered with different service providers or built proprietary solutions. These differences highlight how tokenization is evolving along regional lines while maintaining common technological foundations.

Conclusion: Tokenization Goes Mainstream in European Finance

Amundi’s launch of the first tokenized euro money market fund on Ethereum represents a pivotal moment in the convergence of traditional finance and blockchain technology. By offering investors a choice between conventional and tokenized share classes, Amundi has created an inclusive model that respects traditional preferences while embracing innovation. The collaboration with CACEIS demonstrates the importance of specialized partnerships in delivering robust tokenization solutions. Within the broader context of explosive growth in tokenized funds—led by BlackRock and Franklin Templeton in the U.S.—Amundi’s entry signals that this trend is truly global, with major players across different regions now actively participating.

For crypto readers and investors, this development underscores several key trends: institutional adoption of blockchain is accelerating beyond Bitcoin ETFs into more complex financial products; Ethereum continues to be the preferred platform for sophisticated financial applications; and hybrid models that bridge traditional and blockchain systems are gaining traction. Looking forward, market participants should monitor how other European asset managers respond to Amundi’s initiative, whether similar tokenized products emerge for different asset classes, and how regulators adapt to this rapidly evolving landscape. As tokenization moves from experimental phase to mainstream implementation, its potential to transform finance appears increasingly substantial—and increasingly real.