- KuCoin has partnered with DigiFT to become the first global exchange to offer collateralization support for UBS’s Ethereum-based uMINT token.
- The move marks a major milestone in the real-world asset tokenization market, boosting liquidity and bridging traditional finance with blockchain-based investment solutions.
KuCoin has partnered with DigiFT to become the first global crypto exchange to offer collateralization support for the UBS uMINT token. The uMINT is the first tokenized money market investment fund launched by UBS Asset Management.
Through this strategic alliance, institutional holders of uMINT tokens can now use their assets as off-exchange collateral via DigiFT, enabling access to KuCoin’s diverse digital asset trading options and alternative investment products.
This breakthrough is expected to significantly boost liquidity and broaden opportunities for institutional investors exploring tokenized RWAs.
Unlocking Liquidity in Tokenized Markets
The partnership allows institutions to unlock the value of trillions of dollars in tokenized traditional assets, narrowing the divide between traditional finance (TradFi) and digital asset markets.
KuCoin CEO BC Wong emphasized the exchange’s dedication to innovation, compliance, and security, noting that the integration of UBS’s uMINT token marks
a significant step forward in exploring the viability and adoption of secure investments for a broader audience.
The uMINT token is underpinned by UBS’s high-quality money market instruments, managed within a conservative, risk-controlled framework. It is part of UBS’s broader “UBS Tokenize” vision, which has already delivered notable blockchain-based financial innovations.
In 2023, UBS issued approximately $200 million in fully digital structured notes for a third-party issuer and executed the world’s first cross-border repurchase transaction involving a natively-issued digital bond on a public blockchain.
DigiFT’s Role in the Partnership
As the authorized distributor, DigiFT plays a central role in enabling uMINT adoption. The exchange supports subscription and redemption in both fiat and stablecoins on a non-custodial basis, allowing clients to maintain control through their preferred custody solutions.
DigiFT CEO Henry Zhang highlighted KuCoin’s “mirroring program,” which allows the exchange to mirror RWA holdings with stablecoin equivalents without transferring ownership, boosting liquidity while preserving asset control.
“The integration of the UBS uMINT token… exemplifies our focus on enhancing capital efficiency across digital asset markets through tokenized RWAs,” Zhang said.
KuCoin’s Mirroring Program and the Future of RWAs
KuCoin’s mirroring program is designed to enable sophisticated trading strategies while preserving the yield and security of high-grade RWA assets, safeguarded by a third-party regulated custodian. This initiative addresses the growing demand for tokenized income-generating assets, offering liquidity, risk mitigation, and operational efficiency in a regulated environment.
KuCoin aims to expand its partnerships in the RWA tokenization ecosystem, driving broader adoption and fostering an interconnected global financial network. By enabling institutional-grade collateralization of assets like UBS’s uMINT, KuCoin is positioning itself at the forefront of compliant, innovative, and user-focused solutions in the rapidly evolving digital economy.
