WisdomTree links tokenized money market funds with prime debit card spending
WisdomTree introduces a new feature that lets users spend from their tokenized money market fund using a debit card.
Global exchange-traded fund provider WisdomTree has launched a new feature enabling users to spend directly from their tokenized government money market fund using the WisdomTree prime Visa debit card.
In a press release on Oct. 9, the company said the integration allows consumers to leverage their yield-bearing investments for everyday purchases, effectively transforming how they manage their finances.
With a current 7-day yield of 4.60%, the WTGXX fund serves as an alternative to traditional low-yield checking accounts. By linking these funds to their debit cards, users can optimize their cash management, earning income while accessing their funds for spending, the company explained.
“The purpose of WisdomTree Prime from its genesis has always been to empower consumers with choice. In this case, rolling out the capability to link our money market Digital Fund to our debit card gives users choice in how they put their money to work.”
Will Peck, head of digital assets at WisdomTree
Tradfi turns to tokenized solutions
The initiative underscores WisdomTree’s commitment to integrating saving, spending, and investing within a single platform, addressing the growing demand for more control over financial management. At the same time, other major players in traditional finance are also exploring tokenization opportunities.
As crypto.news reported earlier, State Street, the world’s largest custodian bank, is utilizing blockchain technology to explore the tokenization of bonds and money market funds, joining a wave of firms incorporating distributed ledger technology into traditional finance.
State Street is not alone; BlackRock launched a blockchain-based fund earlier this year, while JPMorgan is actively exploring the use of tokenized money market funds as collateral, having already tokenized real-world money through its stablecoin.
