Fidelity International, which manages nearly $1 trillion in client assets globally, has launched its first blockchain-based digital liquidity fund. The new Fidelity USD Digital Liquidity Fund (FILQ) was issued via Sygnum Bank’s asset tokenization platform, leveraging the Chainlink infrastructure for real-time on-chain connectivity.
Blockchain integration and the Chainlink partnership
Operating independently from its American counterpart Fidelity Investments, Bermuda-based Fidelity International has taken traditional liquidity products into the digital asset space with this latest initiative. Chainlink’s technology plays a crucial role in facilitating the transition of this fund onto the blockchain.
The digital fund from Fidelity earned a AAA-mf rating from Moody’s Ratings—a top-tier assessment generally reserved for money market funds with high credit quality and strong liquidity. Fatmire Bekiri, head of Sygnum Bank’s tokenized assets unit, described the project as a major milestone in bridging traditional finance with blockchain-driven solutions.
“This development represents a significant step forward in the evolution of capital markets, demonstrating that regulated, scalable, and high-quality on-chain liquidity products can be successfully delivered,” explained Fatmire Bekiri.
Chainlink, recognized for connecting blockchain applications to external financial data, will publicly and instantly provide on-chain net asset value (NAV) and dividend distribution data for the fund through this new collaboration.
Transparency and real-time data delivery
Fernando Vazquez, head of capital markets at Chainlink Labs, emphasized that their industry-standard system ensures verifiable and real-time NAV and distribution metrics. This, he explained, enables the fund to operate transparently and securely, serving as a bridge between conventional finance and the digital asset ecosystem.
“With Chainlink’s standardized infrastructure, real-time and tamper-proof NAV and distribution data can safely and transparently connect the world of traditional finance and the on-chain economy,” stated Fernando Vazquez.
JPMorgan supplies the daily NAV data for the fund, allowing investors to monitor the fund’s value and payouts in near real time.
Through this initiative, Fidelity International is expanding Chainlink’s role within the tokenized real-world asset (RWA) sector. Previous partnerships had already integrated on-chain NAV data between Sygnum Bank, Fidelity International, and Chainlink.
Market trend: Tokenizing traditional assets
Recently, leading asset managers worldwide have started moving traditional cash and treasury funds to blockchain networks. Major players like BlackRock and Franklin Templeton have brought tokenized money market funds, offering short-term yield products, on-chain for investors.
JPMorgan recently applied to U.S. securities regulators to launch a tokenized money market fund on the Ethereum blockchain. These new products can even provide reserves for companies issuing stablecoins.
Fidelity Investments previously introduced the Fidelity Digital Interest Token (FDIT), a tokenized money market fund where the main investor is Ondo Finance’s OUSG fund, which now holds the majority of its assets.
These developments highlight how traditional asset management models are beginning to evolve as the industry embraces blockchain-based financial solutions.
