WisdomTree Wins SEC Approval for Real-Time Settlement of Tokenized Money Market Fund
WisdomTree secured SEC approval on Feb. 24 to enable real-time settlement for its tokenized money market fund, allowing investors to trade and redeem shares with immediate T+0 settlement via blockchain. This marks the first regulatory OK for an instant-settlement fund and could boost fund inflows and operational efficiency.
1. SEC Approval for Instant Settlement
On Feb. 24, WisdomTree obtained SEC approval to enable real-time settlement for its tokenized money market fund. It becomes the first registered fund granted permission to settle trades instantly, bypassing the industry-standard T+1 cycle.
2. Blockchain Settlement Mechanics
The fund will tokenize shares on a blockchain platform to achieve T+0 settlement, reducing counterparty and liquidity risk by accelerating trade settlement. Investors will benefit from near-instant redemptions and subscriptions through automated smart contracts.
3. Strategic Implications
Instant settlement could attract new institutional and retail flows by offering faster access to cash, potentially lifting assets under management and fee revenue. This technology-led innovation positions WisdomTree ahead of rivals in operational efficiency and fund distribution.