Franklin Templeton's $700M fund is now being utilized by BounceBit Prime for on-chain operations.
BounceBit, a leading platform at the intersection of traditional finance and decentralized finance (DeFi), has announced the launch of BB Prime, a structured yield venue designed for institutional investors. This groundbreaking product integrates Franklin Templeton's tokenized U.S. Treasury money market fund, known as BENJI, and uses it as collateral and a settlement asset within a platform that actively deploys these real-world assets (RWAs) in DeFi strategies.
With BB Prime live, BounceBit is betting that the next wave of DeFi will be built on real-world assets. The model blends decentralized infrastructure with compliance tools required by institutional players, offering a unique approach that combines the security of traditional assets with the flexibility of DeFi.
BENJI, one of the first money market funds to record ownership directly on a blockchain, manages over $700 million in short-term U.S. Treasuries. By bringing BENJI to BB Prime, investors can keep their exposure to Treasury yields while tapping additional crypto-native yield opportunities.
The BB Prime structure is designed to bridge blockchain finance with traditional institutions that demand regulatory safeguards. It provides a stable on-chain yield source of about 4.5%, offering access to regulated real-world asset yields on-chain.
The integration enables investors to maintain exposure to the reliable yields of traditional U.S. Treasury instruments, while simultaneously accessing enhanced crypto-native yield opportunities such as arbitrage and DeFi stacking strategies. Instead of passive holding, BB Prime actively deploys tokenized Treasuries in on-chain financial systems.
Benefits offered to investors include increased transparency and liquidity, since BENJI tokens are issued on public blockchain infrastructure, enabling secure, transparent ownership and settlement. Regulatory compliance and institutional usability are also facilitated by BounceBit's infrastructure, which supports custody, real-time reporting, and capital-efficient deployment, reducing reliance on traditional stablecoins.
As BB Prime scales, BounceBit plans to add more structured yield products, including other RWA-backed assets and diversified DeFi strategies. The platform also announced a multi-year buyback program for its native token, $BB, aimed at scaling yield products and reflecting demand for regulated tokenized assets.
In essence, BounceBit’s BB Prime transforms Franklin Templeton’s tokenized money market fund from a passive holding into an actively managed on-chain yield-generating asset, blending the stability of U.S. Treasuries with the innovation and capital efficiency of DeFi.
- Institutional investors can now leverage BB Prime, a groundbreaking platform from BounceBit, to maintain their exposure to Treasury yields while simultaneously exploring crypto-native yield opportunities in decentralized finance (DeFi).
- The integration of BENJI, a regulated money market fund managed by Franklin Templeton, within BB Prime, represents a unique approach that combines traditional finance assets with DeFi strategies, offering increased transparency, liquidity, and regulatory compliance for investors.
