- Franklin Templeton to launch first publicly registered security on Solana, enhancing its portfolio with blockchain integration.
- Citibank explores Solana for potential use in smart contracts and cross-border payments, aiming to innovate financial transfers.
During the Solana Breakpoint 2024 event in Singapore on September 20, several prominent financial institutions announced initiatives on the Solana blockchain, signaling a strategic shift towards decentralized finance solutions.
Solana Breakpoint 2024 Livestream | Day 1, Left Curve https://t.co/iowE2Kbrjq
— Solana (@solana) September 20, 2024
Franklin Templeton Introduces Money Market Fund on Solana
Franklin Templeton, a global asset management firm with $1.7 trillion under management, disclosed plans to launch a money market fund on Solana. This initiative marks the firm as the first asset manager to issue securities on Solana under a public registration statement with the SEC.
“We see blockchain as essential for driving operational efficiency and reducing costs in our financial services. Solana offers the transactional capacity we need to handle the volume of ledger entries for a mutual fund, making it the right choice for this initiative.” – Mike Reed, the firm’s partnership development lead.
The firm’s BENJI offering, the second-largest tokenized treasury product at $435 million, underscores its commitment to integrating blockchain into its investment strategies. Franklin Templeton’s decision is driven by Solana’s technological capabilities such as high transaction speed, low cost, and advanced token extensions, which align with the firm’s operational needs.
Franklin Templeton announced that it plans to launch a money market fund on Solana.
Franklin Templeton is a top-20 asset manager by AUM at $1.7 trillion. Its onchain BENJI offering is the second largest tokenized treasury product at $435 million, according to @RWA_xyz
During… pic.twitter.com/UpUm12qGz6
— Solana (@solana) September 20, 2024
Securitize Expands Tokenization on Solana Securitize, a leader in asset tokenization, announced its integration with Solana to enhance its platform’s capabilities. Currently managing over $950 million in tokenized assets, Securitize supports funds including BlackRock’s BUIDL and has partnerships with KKR and Hamilton Lane.
The integration with Solana, complemented by a partnership with Wormhole for cross-chain interoperability, aims to streamline asset tokenization processes while adhering to compliance standards.
Societe Generale FORGE and Citi Leverage Solana for Financial Innovations
Societe Generale FORGE is set to support Solana by launching its EUR CoinVertible stablecoin, reflecting compliance with the MiCA regulatory framework. The digital asset subsidiary of Societe Generale also plans to explore other tokenized products on Solana, such as Smart Cash and structured bonds, in the future.
Societe Generale’s digital assets subsidiary, SG FORGE, is adding support for Solana, starting with the launch of its EUR CoinVertible (EURCV) stablecoin.
EURCV is the first MiCA compliant stablecoin issued by a bank. In the future, SG FORGE may also bring its other tokenized… pic.twitter.com/8dey205Wwe
— Solana (@solana) September 20, 2024
Meanwhile, Citibank’s Citi Integrated Digital Assets Platform (CIDAP) exemplifies its exploration of blockchain for internal money transfers and potential expansions into tokenizing more assets. Citibank is actively evaluating Solana’s infrastructure for its capacity to handle smart contracts and cross-border transactions.
Citi has implemented blockchain-based solutions for financial applications. For example, they recently launched the Citi Integrated Digital Assets Platform (CIDAP), a technology stack for internal money transfers.
At Breakpoint, Citi’s Mark Attard discussed Citi’s hopes for its… pic.twitter.com/6u9O5Ze0uZ
— Solana (@solana) September 20, 2024
These partnerships reflect a growing recognition of Solana’s potential to facilitate complex financial applications due to its ability to handle high transaction volumes at low costs. As traditional financial (TradFi) institutions increasingly adopt decentralized finance (DeFi) solutions, Solana is positioned as a preferable platform for services requiring robust transactional capabilities.
Xandeum’s Strategic Announcement
A notable announcement came from Xandeum, a layer-1 smart contract platform designed for Web3 applications. Xandeum chose this conference to unveil its plan to enhance Solana’s storage capacities.
The company detailed its upcoming storage-enabled liquid staking program and officially introduced the XAND token. These initiatives are aimed at scaling the infrastructure to support more extensive and complex operations on Solana, which could drive broader adoption and utility of the blockchain.
Market Reaction to Developments
The ripple effects of these announcements and the overall positive sentiment around the Solana Breakpoint 2024 are evident in the marketplace. Solana’s native cryptocurrency, SOL, has experienced a notable price increase, climbing over 17% since the onset of the conference.
This price movement started from a base of $127.08 and escalated to $149.08, demonstrating a robust market response to the ongoing developments discussed at the conference.
Technical Analysis of SOL’s Movement
The surge in SOL’s price aligns with technical milestones. It recently broke above the 0.382 Fibonacci resistance level on its daily trading chart, suggesting a strong upward momentum that could potentially lead it to approach the $160 resistance mark.
To maintain this trajectory, SOL would need to breach the 0.5 Fibonacci level, which stands around $152.
