Bybit will enable traders to use the uMint tokenized fund, launched by UBS, as trading collateral.
Summary
- Crypto exchange Bybit partnered with the DigiFT tokenization platform, which manages uMint
- Bybit will enable traders to use the uMINT tokenized fund by UBS as trading collateral
- The partnership is part of a broader trend of integration between crypto and tradFi
Traditional finance and the crypto space continue to converge. On Monday, Oct. 13, Bybit, the second-largest crypto exchange by trading volume, announced the integration of the uMint tokenized fund. Bybit users will be able to use the fund, launched by the global bank UBS, as trading collateral.
“Investors of the UBS tokenized money market investment fund will be able to use their holdings as collateral for trading in a secure and cost-efficient way. This partnership is another important step in bridging Web2 finance and Web3 innovation,” said Ben Zhou, Co-Founder and CEO of Bybit.
The main benefit of the partnership is to enable traders to hold an institutional-grade money market fund while also being able to leverage it as trading collateral. For institutional investors, this can greatly reduce capital expenditures for trading.
Bybit to boost the efficiency of the UBS uMint fund
The integration is made possible through Bybit’s partnership with the asset tokenization platform DigiFT, which distributes the uMint fund to investors. According to DigiFT, the partnership showcases the benefits of tokenization by enabling greater capital efficiency.
“Through this collaboration, DigiFT exemplifies how regulated RWA infrastructure can deliver both capital efficiency and transparency to the financial markets of the future,” said Henry Zhang, Founder & Group CEO of DigiFT.
UBS launched its USD Money Market Investment Fund Token, or uMint, its first tokenized investment fund, in November 2024. Built on the Ethereum blockchain, it represents a low-risk, institutional-grade money market fund, leveraging short-term U.S. Treasury debt. The fund is designed with accredited and professional investors in mind.
