JP MORGAN IS EXPLORING TOKENIZED ETFS
JP Morgan is exploring proof of concepts around tokenizing ETFs through its Kinexys platform, as Wall Street banks including Morgan Stanley accelerate their push into blockchain-based financial products.
JP Morgan, the largest US bank by assets, is actively exploring putting exchange-traded funds on the blockchain. As highlighted by @nategeraci, Ciarán Fitzpatrick, the bank's global head of ETF Product in Securities Services, confirmed that JP Morgan is "looking at proof of concepts around tokenizing ETFs" through its Kinexys platform.
The disclosure, published on JP Morgan's own insights page, places one of Wall Street's most influential institutions squarely in the race to merge traditional fund structures with distributed ledger technology.
JP Morgan's Broader Tokenization Push
Tokenized ETFs are not JP Morgan's first foray into on-chain finance. In December 2025, the bank's asset management arm launched My OnChain Net Yield Fund ("MONY"), its first tokenized money market fund, on the public Ethereum blockchain. The fund, powered by Kinexys Digital Assets, invests exclusively in US Treasury securities and allows qualified investors to subscribe and redeem using cash or stablecoins. JP Morgan described itself as the largest global systemically important bank to launch such a product on a public blockchain.
Extending that approach to ETFs would carry additional weight. According to JP Morgan's own e-trading survey, respondents expect ETFs to see the most developments in electronification in 2026 compared with other products. Global ETF assets under management are expected to reach $35 trillion by 2030, up from $19.5 trillion in 2025, according to a PwC survey cited by the bank. Putting those products on-chain could improve settlement speed, enhance transparency and open new avenues for collateral usage.
Morgan Stanley Adds to Wall Street's Digital Asset Push
JP Morgan is not the only major bank deepening its blockchain commitment. Morgan Stanley launched the Morgan Stanley Bitcoin Trust ($MSBT) in early April 2026 — its first crypto exchange-traded product and the first spot $BTC ETF issued by a major US bank. The fund carries the lowest expense ratio in the market at just 0.14%, undercutting BlackRock's iShares Bitcoin Trust. Morgan Stanley oversees $9.3 trillion in total client assets across roughly 16,000 financial advisors, giving its distribution network considerable reach.
Days later, Morgan Stanley unveiled the MSILF Stablecoin Reserves Portfolio (MSNXX), a government money market fund designed for stablecoin issuers to park reserves in compliance with the GENIUS Act. The fund invests in cash, short-dated Treasuries and overnight repurchase agreements.
Together, these moves from two of the largest US financial institutions signal that Wall Street's engagement with blockchain infrastructure is shifting from experimentation to product-level execution. Whether through tokenized money market funds, low-cost spot Bitcoin ETFs or stablecoin reserve vehicles, the direction is clear: traditional finance is building on-chain.
Sources:
JP Morgan — From Automation to Tokenization: ETF Trends to Watch
JP Morgan Asset Management — Tokenized Money Market Fund Launch
CoinDesk — Morgan Stanley's Bitcoin ETF Launch
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Author
Jon WangJon studied Philosophy at the University of Cambridge and has been researching cryptocurrency full-time since 2019. He started his career managing channels and creating content for Coin Bureau, before transitioning to investment research for venture capital funds, specializing in early-stage crypto investments. Jon has served on the committee for the Blockchain Society at the University of Cambridge and has studied nearly all areas of the blockchain industry, from early stage investments and altcoins, through to the macroeconomic factors influencing the sector.