State Street Works on Tokenized Bond and Money Market Fund; No 'Current Plans' for Stablecoin Project
State Street is pursuing bond and money market fund tokenization but has no current plans to issue a stablecoin or tokenized deposits. Chief Product Officer Donna Milrod stated that while future plans could change, there is no immediate need for such initiatives. The company is focused on two tokenization projects expected to continue into next year, aiming to create tokenized collateral for margin use without liquidating holdings. The tokenization of traditional financial instruments is gaining traction among major financial institutions, promising benefits like increased efficiency and lower costs. Milrod emphasized the need for commercial value beyond operational efficiency. State Street is also collaborating with Taurus for tokenization and plans to offer custody for digital assets when U.S. regulations permit.
