U.S. SEC approves WisdomTree’s tokenized MMF for ‘intraday trading’…broadening capital-markets tokenization

The U.S. Securities and Exchange Commission (SEC) has granted exemptive relief allowing intraday trading for asset manager WisdomTree’s tokenized money market fund (MMF). The move is seen as expanding the distribution framework for tokenized traditional financial products.

According to Reuters on the 23rd (local time), the SEC approved the special regulatory exemption sought by WisdomTree. As a result, tokenized shares of the “WisdomTree Treasury Money Market Digital Fund” can be traded intraday rather than only at end-of-day prices, as with conventional mutual funds. Typically, MMFs trade only once a day at their net asset value (NAV).

Without the SEC’s decision, investors would have been able to buy and sell the fund only at the closing price. The exemption is meaningful in that it lays the groundwork for faster settlement and improved access for retail investors. At the same time, it is being interpreted as an example of the tokenization of capital markets—using blockchain-based distributed ledger technology—expanding within the regulated financial system.

Will Peck, head of digital assets at WisdomTree, said in a statement, “This approval is the first for a tokenized mutual fund,” adding that it is “a major milestone accelerating the digital transformation of capital markets.”