Franklin Templeton and Binance Launch Off-Exchange Collateral Program

[cryptoenthusiast]

Franklin Templeton has launched an institutional off-exchange collateral program with Binance, allowing clients to use tokenized money market fund (MMF) shares as trading collateral while keeping the underlying assets in regulated custody. Instead of transferring assets onto the exchange, the collateral value is mirrored within Binance’s trading system — a structure designed to reduce counterparty risk.

Eligible institutions can pledge tokenized MMF shares issued through Franklin Templeton’s Benji Technology Platform. The assets remain off-exchange with Ceffu Custody, a Dubai-licensed digital asset custodian, while still supporting trading activity on Binance. The model enables institutions to earn yield on regulated money market funds while deploying the same capital for crypto trading — without relinquishing custody protections.

[nihalsari]

using tokenized mmf shares as off-exchange collateral is clever, lets institutions earn yield while trading crypto