Fidelity International has taken its first step into onchain finance with the launch of a tokenized liquidity fund named FILQ. The fund uses technology from blockchain oracle provider Chainlink and digital asset bank Sygnum, marking a notable push by the asset manager into tokenized real-world assets.
What FILQ offers
FILQ is a tokenized version of a traditional liquidity fund, meaning investors can hold shares represented as digital tokens on a blockchain. The fund aims to combine the stability of money-market instruments with the efficiency of blockchain settlement. Fidelity International, which manages hundreds of billions in assets, said the move aligns with growing client demand for digital asset exposure within regulated frameworks.
Why Chainlink and Sygnum
Chainlink provides the oracle infrastructure to bring off-chain data—such as fund net asset values and interest rates—onto the blockchain in a tamper-proof way. Sygnum, a Swiss-based digital asset bank with a banking license, handles the custody and tokenization of the fund shares. The two firms have worked together before on tokenized bond projects, but this is their first collaboration with Fidelity International on a liquidity fund.
What this means for institutional investors
The fund is designed for institutional and accredited investors, not retail. It offers 24/7 secondary trading on Sygnum's regulated digital asset exchange, a feature that traditional funds don't provide. That could appeal to treasurers and asset managers who want quicker access to their cash without waiting for end-of-day redemption cycles. Fidelity International didn't disclose the initial size of the fund or a target raise.
Regulatory context
The launch comes as regulators in Europe and Asia step up their scrutiny of tokenized assets. Fidelity International said FILQ complies with all applicable laws in the jurisdictions where it's offered. Sygnum holds a Swiss banking license and a Singapore capital markets services license, giving the fund a regulated backbone. Still, tokenized funds remain a niche product, and it's unclear how quickly institutional adoption will pick up.
Fidelity International hasn't announced a specific date for a broader rollout or additional tokenized products. The firm is expected to share more details during its next investor update in March.
