How Franklin Templeton MoonPay stablecoin yield opens 24/7 onchain swaps for institutions to tap tokenized money market funds

Franklin Templeton MoonPay stablecoin yield is getting a new onchain route, as one of Wall Street’s biggest asset managers works with MoonPay to let eligible institutional investors swap directly between stablecoins and the firm’s tokenized money market fund. The process happens entirely on blockchain networks, which means institutions can stay onchain while moving in and out of the product.

The partnership links a major traditional finance name with a crypto infrastructure company, and it shows how quickly the line between asset management and digital asset plumbing is fading. Just as importantly, it gives institutions a way to put stablecoin balances to work around the clock.

Franklin Templeton and MoonPay bring stablecoin swapping onchain

The Franklin Templeton and MoonPay partnership enables eligible institutions to move between stablecoins and Franklin Templeton’s tokenized money market fund without leaving blockchain networks. In practice, that means no manual redemption process, no off-chain intermediary, and no need to exit the blockchain environment to complete a transaction.

Sandy Kaul, Franklin Templeton’s head of innovation and digital assets, said the demand was already there. “We had tremendous demand for this,” she said.

Why the Franklin Templeton MoonPay stablecoin yield setup matters for institutions

The integration is aimed squarely at institutions rather than retail users. It is designed for organizations that already hold stablecoins and want to rotate them into yield-generating exposure without disrupting their blockchain workflow. However, the eligibility criteria for participating institutions have not been publicly specified.

That matters because institutional treasury teams often need quick movement between cash-like digital assets and products that generate return. With this setup, they can keep those flows inside the same onchain environment.

How the onchain integration works

Behind the partnership is a direct connection between Franklin Templeton’s Benji Technology Platform and MoonPay Trade infrastructure. Benji serves as Franklin Templeton’s onchain product layer, while MoonPay Trade handles transaction execution.

By linking the two systems, institutions can gain or exit exposure to the tokenized money market fund without touching traditional financial rails. As a result, the swap stays inside blockchain networks, which reduces friction, limits settlement delays, and keeps digital asset operations in one place.

For institutions managing large stablecoin balances, that kind of workflow can change liquidity management. Instead of leaving funds idle, they can shift into a yield-bearing product and back again with far less operational drag.

Franklin Templeton expands its digital asset strategy

The partnership also fits into Franklin Templeton’s broader push into digital assets. The firm, which manages roughly $1.74 trillion in assets, has been moving across several fronts at once.

In April 2026, Franklin Templeton announced plans to launch Franklin Crypto, a dedicated cryptocurrency division anchored by the acquisition of 250 Digital, a crypto investment firm. The new unit is designed to focus on active crypto investment strategies, while the firm continues building tokenized versions of traditional financial products.

Kaul described 2026 as a pivotal year for digital money interoperability, where stablecoins, tokenized funds, and other digital financial instruments begin working together across trading, lending, and collateral uses. In that sense, the MoonPay deal and the Franklin Crypto launch point in the same direction.

Tokenized money market funds offer continuous yield advantages

Yield distribution based on the exact holding period

One of the biggest advantages of a tokenized money market fund is how it handles yield. Traditional money market funds usually require investors to hold a position through the end of a trading day to receive interest accrual. Tokenized versions remove that constraint.

Instead, yield can be distributed based on the exact period an investor holds the asset, even hour by hour if needed. For institutions moving in and out of positions throughout the day, that precision matters.

24/7 stablecoin trading meets institutional crypto investment demand

Crypto markets do not close, and that creates a gap for institutions that hold stablecoins over weekends or outside standard market hours. Those balances can sit idle even though the assets are already digital and liquid.

The Franklin Templeton MoonPay stablecoin yield integration is built to address that gap. Institutions can move stablecoin holdings into a yield-generating tokenized fund at any time, then exit just as easily. The combination of 24/7 stablecoin trading and institutional crypto investment products is exactly what many market participants have been asking for, and Franklin Templeton said demand has been strong.

For MoonPay, the partnership also marks a notable expansion. The company has been best known for crypto trading and payments, but this deal places it closer to the tokenized real-world assets market, where major financial institutions are looking for regulated products on blockchain infrastructure.

Frequently asked questions

What stablecoins are supported in the integration?

The specific stablecoins supported in the Franklin Templeton and MoonPay swapping integration have not been publicly disclosed.

Who can use the service?

The partnership targets eligible institutional investors. However, the detailed eligibility criteria have not been specified in available disclosures.

When will the integration be available?

A specific public launch date for the integration has not been confirmed.

Are there geographic restrictions?

Any geographic restrictions have not been detailed in the available information about the partnership.

What risks are associated with tokenized money market funds and onchain swaps?

The specific operational, regulatory, and security risks tied to this integration have not been addressed in the available disclosures.