Tokenized share classes will be issued initially on Ethereum and other EVM-compatible networks.
Crypto News
Legal and General Asset Management has tokenized a set of its liquidity funds and made them available through Calastone's blockchain distribution network. The announcement came Wednesday. The move gives investors an alternative way to access and settle fund shares outside traditional infrastructure.
The funds cover assets denominated in U.S. dollars, euros, and British pound sterling. Together they manage more than £50 billion (around $67.9 billion). They are built for capital preservation and offer same-day liquidity.
Each fund invests in short-term, high-quality instruments. Those include government bonds, bank deposits, and investment-grade corporate debt. The products are designed for institutional investors seeking low-risk, liquid positions.
Tokenized share classes will be issued initially on Ethereum and other EVM-compatible networks. Access is permissioned, meaning only authorized participants can buy, hold, or transfer the digital shares. Standard share classes remain available through existing distribution channels.
Calastone, which operates as part of SS&C Technologies, built the infrastructure supporting the tokenized offering. Its network handles token creation, order routing, settlement, and reconciliation. Calastone said its platform connects more than 4,500 financial institutions worldwide.
Legal and General Asset Management oversees approximately £1.2 trillion (about $1.63 trillion) in assets across public and private markets. The firm's entry into tokenized distribution adds to a trend already underway among large asset managers. Tokenized U.S. Treasury products, including money market funds, have grown to more than $13 billion according to RWA(dot)xyz, up from about $8.9 billion at the start of the year.
BlackRock's BUIDL fund leads the category with roughly $2.47 billion in assets. Franklin Templeton's OnChain US Government Money Fund holds about $993 million, and WisdomTree's Government Money Market Digital Fund sits at approximately $864 million. Each of those products has expanded its blockchain presence in recent months.
The Bank for International Settlements has flagged a risk in this area. It warned that a gap between instant token transfers and slower settlement of the underlying assets could create liquidity and contagion problems. U.K. regulators are also moving toward a formal framework, with the Financial Conduct Authority consulting on custody and trading rules ahead of a planned 2027 rollout.
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