KuCoin Introduces Collateral Support for UBS's uMINT using DigiFT
KuCoin, a global cryptocurrency exchange, has announced its support for UBS uMINT, a tokenized money market investment fund launched by UBS Asset Management. This integration marks a significant step in integrating traditional finance with digital asset markets, enabling institutional investors to use tokenized real-world assets (RWAs) as off-exchange collateral for trading on a digital asset exchange.
UBS uMINT, issued by UBS Asset Management under its UBS Tokenize program, is the first tokenized money market fund built on Ethereum. By partnering with DigiFT, a platform for tokenized real-world assets, KuCoin allows institutional holders to leverage their uMINT tokens as collateral without transferring ownership via its mirroring program.
This collaboration bridges traditional and digital finance by tokenizing real-world money market investments and enabling their use in digital markets, opening new liquidity and trading opportunities for institutions. It increases liquidity in tokenized asset markets through KuCoin’s mirroring program, which facilitates stablecoin-backed trading of RWAs without actual asset movement, thereby preserving asset ownership and yield generation.
UBS uMINT offers institutional-grade cash management solutions underpinned by high-quality money market instruments. The partnership introduces these risk-managed investment products onto the blockchain, enhancing the credibility and appeal of on-chain real-world assets as income-generating digital collateral.
The partnership sets a new industry standard for safe, compliant collateralization, emphasizing regulatory oversight, secure custody, and operational efficiencies in tokenized asset trading. By supporting UBS uMINT, KuCoin aims to expand adoption and integration of tokenized RWAs, driving a more interconnected financial ecosystem where digital assets reflect real-world value more directly, ultimately optimizing capital efficiency and boosting returns for institutional investors.
BC Wong, CEO of KuCoin, stated that the partnership highlights a significant step forward in exploring the viability and adoption of secure investments for a broader audience. Henry Zhang, CEO of DigiFT, added that DigiFT is building the next iteration of institutional-grade capital markets infrastructure for Web3.
Clients can use their preferred custody wallet solution with DigiFT. KuCoin can facilitate a broad array of RWAs issued by reputable asset managers as recognized collateral. As an authorized distribution partner, DigiFT provides investors access to tokenized RWAs, including the UBS tokenized money market investment fund.
KuCoin anticipates further expansions in tokenized asset integrations. The initiative represents an advancement in the cryptocurrency sector, expanding the use of tokenized real-world assets to a trading environment. This collaboration addresses the growing demand for high-grade on-chain income assets, offering enhanced liquidity, risk reduction, and operational efficiencies.
- KuCoin's support for UBS uMINT, a tokenized money market investment fund, signifies a significant advancement in the integration of traditional finance with cryptocurrency, as this partnership enables institutional investors to leverage their uMINT tokens for stablecoin-backed trading of real-world assets in the digital asset exchange, thereby driving a more interconnected financial ecosystem.
- By partnering with DigiFT, KuCoin emphasizes regulatory oversight, secure custody, and operational efficiencies in tokenized asset trading, setting a new industry standard for safe, compliant collateralization in the cryptocurrency sector, and increasing the adoption and integration of tokenized real-world assets to boost returns for institutional investors.
