Federated Hermes (FHI) plans first tokenized fund shares for 2027 as Wall Street moves onchain
Federated Hermes, which manages $911 billion, plans to issue its first tokenized fund share classes early next year in partnership with Prometheum. The firm has not identified the funds or blockchains, but money market funds are a likely starting point. Prometheum’s SEC-registered broker-dealer subsidiaries will provide custody, clearing and settlement, while its platform aims to make the products available through other brokerages and financial advisers. The move shifts Federated Hermes beyond prior experiments involving third parties that issued tokenized versions of its conventional products. The company says broader access through familiar investment channels is key to adoption, while tokenization could enable faster transfers, programmability and more efficient use of cash as collateral.
