TL;DR
- Binance and Franklin Templeton are exploring the tokenization of securities to optimize settlement, collateral management, and portfolio construction at scale.
- The partnership aims to combine traditional and decentralized solutions, providing efficiency, transparency, and access to investors on a global scale.
- Binance plans to launch tokenization products before the end of the year.
Binance and Franklin Templeton announced a collaboration focused on the tokenization of securities, integrating this technology with an international trading infrastructure.
The partnership combines Franklin Templeton’s expertise in digital assets and regulatory compliance with Binance’s reputation and vast global client base. The initiative seeks to optimize transaction settlement, collateral management, and portfolio construction at scale.
Franklin Templeton will contribute its knowledge in issuing tokenized securities in full compliance with regulations, while Binance will provide the trading infrastructure and connectivity needed to reach a broad investor audience. The collaboration will enable the development of financial products that merge traditional tools with decentralized solutions, delivering greater efficiency, transparency, and accessibility in capital markets.
Franklin Templeton: Tokenization Moves Beyond Margins
According to Franklin Templeton executives, tokenization has moved beyond being a marginal concept and is consolidating as a viable alternative in investment management, capable of delivering competitive returns and improvements in settlement processes.
Binance is expected to unveil its first tokenization products before the end of the year. The company currently handles approximately $22 billion in daily trading volume, far exceeding other exchanges like CoinW or MEXC, which operate around $5 billion daily. Franklin Templeton manages $1.64 trillion in monthly assets and ranks among the first issuers of spot Bitcoin ETFs in the United States.
Several financial institutions are exploring tokenization as a way to integrate traditional and digital markets. Recently, Kraken enabled trading of tokenized securities in Europe via xStocks, while Nasdaq invested $50 million in Gemini, an exchange offering global tokenization solutions, and submitted a proposal to list tokenized stocks directly on its platform. Meanwhile, Binance.US removed trading fees on selected pairs of Ethereum, Solana, and 20 other staking blockchains.
This partnership combines blockchain technology with institutional expertise, providing new tools to manage investments efficiently and securely
