London based Fidelity International (FIL) has issued its first tokenized money market fund (MMF), the USD Digital Liquidity Fund, using Desygnate, the tokenization platform of Swiss digital asset bank Sygnum. FIL had US$34.5 billion in MMF assets under management (AUM) at the end of 2025. The initial tokenization is on Ethereum, with the ZKsync Layer 2 network to follow.
The selection of Sygnum and ZKsync is deliberate. Almost two years ago, Sygnum bought $50 million of a FIL MMF and tokenized the fund units on the ZKsync chain to enable ZKsync founder Matter Labs to invest and have an on-chain record.
“There is no tokenized finance without tokenized liquidity. Once markets settle in real time, cash must settle in real time too. This is Fidelity International’s answer to that imperative — combining over 30 years of fixed income expertise with blockchain infrastructure built for the digital asset economy,” said Emma Pecenicic, Head of Digital Assets Distribution at Fidelity International.
Fidelity International should not be confused with Fidelity Investments, which issued its first tokenized MMF just over a year ago. The Fidelity MMF currently has $153m AUM, with 99% being used as collateral by Ondo’s OUSG Short-Term US Treasuries Fund. Fidelity International was founded by Fidelity but is now independent, although the founding Johnson family has a significant stake, thought to be as high as 49%. Abigail Johnson chairs both companies.
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