JP Morgan Chase filed with the U.S. Securities and Exchange Commission (SEC) on May 12 for a second tokenized money market fund on Ethereum, offering digital tokens tied to a portfolio of U.S. Treasuries and overnight repurchase agreements that investors could hold in digital wallets or deploy as on-chain collateral.
This filing indicates that tokenized real-world assets (RWA) tracked by rwa.xyz have reportedly reached approximately $32 billion in total market value and that competitors, including BlackRock, are moving forward with comparable institutional offerings under the recently enacted GENIUS Act.
(SOURCE RWA.xyz)
This isn’t just another product launch. This is JP Morgan reporting that the institutional tokenization pilot phase is complete – and that it is Ethereum’s public infrastructure, not the bank’s own permissioned network, that is the starting point for the next phase of on-chain finance.
We suspect Ethereum mainnet choice over JP
Morgan’s Kinexys Digital Assets private infrastructure for client-facing products reflects a deliberate recognition that institutional liquidity does not accumulate on isolated bank-led networks.
(SOURCE: TradingView)
JP Morgan JLTXX deposit: how the second tokenized treasury fund actually works
The mechanism works as follows: The new fund, structured under JP Morgan Trust IV as Token Class Shares and designated JLTXX, files an effective date of May 13, 2026, with underlying assets limited to U.S. Treasury securities with maturities of 93 days or less, maintaining at least 99.5% in cash or government assets in accordance with SEC Rule 2a-7.
Transactions are settled in minutes rather than the T+1 or T+2 cycles of conventional money market funds, while legal custody of assets remains with a traditional custodian – blockchain balances reflect holdings on an individual basis, with traditional accounting entries taking precedence in the event of a dispute.
Unlike the bank’s first tokenized fund, MONY, which requires a minimum investment of $1 from accredited investors, including institutions with $25 million or more in assets and seeks broad institutional yield, JLTXX is explicitly structured to serve as a reserve asset for stablecoin issuers operating under the GENIUS Act.
Authorized Ethereum addresses manage compliance at the protocol level, allowing the fund to operate on a public blockchain while preserving the access controls required for regulated institutional products. Subscriptions and redemptions accept stablecoins as well as cash, expanding access options for treasury operators already holding digital assets.
The product runs through Kinexys Digital Assets, JP Morgan’s blockchain-based asset platform, which has already executed a $50 million tokenized commercial paper transaction on Solana and issued JPMD deposit tokens on Base – a series of public chain pilots that are now converging into an SEC-registered live product on Ethereum. As previously reported, JP Morgan also completed a live cross-border tokenized treasury buyout on the XRP Ledger, demonstrating a multi-chain posture that the JLTXX deposit reinforces.
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JPMORGAN JUST FILED TO PUT US TREASURES ON ETHEREUM
JPMorgan has filed an application to launch JLTXX, its OnChain Liquidity-Token money market fund, on the Ethereum ($ETH) blockchain.
The fund invests exclusively in U.S. Treasury securities and fully guaranteed overnight redemptions… pic.twitter.com/PDREkZP9Au
– BSCN (@BSCNews) May 13, 2026
The GENIUS Act, signed in July 2025, established key regulations by prohibiting stablecoin issuers from paying interest, thereby distinguishing stablecoins from yield-generating products. This opened the door to money market funds tokenized under SEC rules. JP Morgan’s second file targets the treasury and cash management of companies, now excluded from stable functions.
Competition has intensified, with BlackRock’s BUIDL fund surpassing $500 on Ethereum since its launch in March 2024, proving that institutional real-world asset (RWA) products can scale. As of Q1 2026, tokenized RWAs reached $8.6 billion, with Ethereum holding approximately 70% of this value. Franklin Templeton has also been expanding into this space, with more deposits into Solana expected, driving a race to $12 billion for institutional deposits.
JP Morgan’s Onyx blockchain, launched in 2020 and processing over $1 billion in transactions daily by 2025, provides credible infrastructure for this expansion. The MONY fund was launched in December 2025 with capital of $100 million and serves as a proof of concept; JLTXX is the next product aimed at capturing the reserve market, which stablecoins can no longer bring in.
Momentum for institutional adoption is growing, as evidenced by Charles Schwab’s move into cryptocurrency brokerage. Most notably, JP Morgan’s second deposit of tokenized funds on a public blockchain validates Ethereum as a settlement infrastructure for large-scale balance sheets.
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Neil is a professional cryptocurrency content writer with years of experience. He has written for various cryptocurrency websites to report on the latest news and has been hired by all kinds of cryptocurrency projects, to create content that would increase their visibility and attract more potential investors.
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