A Hong Kong-based subsidiary of a serious Chinese language industrial financial institution, China Retailers Financial institution (CMB), tokenized its $3.8 billion cash market fund (MMF) on BNB Chain.
CMB Worldwide Asset Administration (CMBI) has partnered with BNB Chain to deliver its CMB Worldwide USD Cash Market Fund onto its layer-1 (L1) blockchain, BNB Chain introduced on Wednesday.
The partnership builds on CBMI’s real-world asset tokenization (RWA) cooperation with Singapore-based tokenization platform DigiFT, which tokenized the fund on the Solana blockchain in August.
The CMBI’s fund launch on BNB Chain got here weeks after on-line stories advised that China’s securities regulator had been pressuring native brokerages to pause their RWA tasks in Hong Kong.
Fast fund overview
Launched in early 2024, the CMB Worldwide USD Cash Market Fund is a sub-fund of the CMB Worldwide Open-ended Fund Firm, which is a public umbrella open-ended fund firm established in Hong Kong.
The fund primarily invests in US dollar-denominated deposits in addition to state-backed cash market devices in nations or areas, together with the US, Singapore, the European Union, mainland China, Hong Kong, Macau and Taiwan.
In accordance to information from the Hong Kong Inventory Alternate (HKEX), the fund has been steadily rising since its inception, with AUM including 24% from $2.9 billion in April to $3.6 billion by August.
CMBMINT and CMBIMINT tokens deployed on BNB Chain
CMBI Asset Administration’s collaboration with BNB Chain marks a milestone in bringing RWAs to probably the most lively blockchain ecosystems, BNB Chain stated within the announcement.
“By increasing onchain distribution, CMB Worldwide and BNB Chain are offering Accredited Traders with direct, blockchain-based entry to a top-performing fund with over $3.8 billion AUM,” it added.
The collaboration brings two tokens, CMBMINT and CMBIMINT, onto the BNB blockchain, permitting traders to achieve publicity to the fund utilizing fiat currencies or stablecoins and redeem holdings by way of DigiFT.
The launch additionally includes the RWA infrastructure supplier OnChain, which allows traders to make use of the tokens throughout a number of decentralized finance (DeFi) purposes, akin to lending and yields.
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As mainland China regulators have reportedly requested Hong Kong brokerages to halt RWA choices, it seems to be unclear whether or not the tokenized CMBI fund aligns with the native regulatory ecosystem.
Approached by Cointelegraph to touch upon the reported stress from mainland China regulators, the Hong Kong Financial Authority declined to remark.
Cointelegraph approached BNB Chain for remark relating to the difficulty, however had not acquired a response by publication.
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