On Tuesday investment firm Franklin Templeton made a preliminary
SEC filing to start a blockchain-based mutual fund for government securities. In the filing, the company said ownership of the fund’s shares will be recorded on the Stellar blockchain network, along with the traditional recording by the transfer agent.
However, the company clarified that it will not be investing in any cryptocurrencies. Only the data of fund transactions will be stored on a blockchain, not any personal information. The motive for using blockchain is to provide transparency to shareholders and also allow reduced settlement times.
The complex mechanics of using a blockchain will be hidden from investors.
Article continues …
Want the full story? Pro subscribers get complete articles, exclusive industry analysis, and early access to legislative updates that keep you ahead of the competition. Join the professionals who are choosing deeper insights over surface level news.
