UBS said it completed the first on-chain swap of a tokenized fund using Chainlink’s Digital Transfer Agent (DTA) in a live transaction that underlines how blockchain infrastructure is beginning to interact with the $100 trillion global funds industry.
The transaction involved the tokenized money market fund UBS USD Money Market Investment Fund Token (uMINT) built on Ethereum.
DigiFT acted as an on-chain dealer and settled the swap using Chainlink’s DTA standard. UBS’s internal systems initiated the process, which was then executed by Chainlink’s infrastructure, according to a press release shared with CoinDesk.
“This transaction represents a key milestone in how smart contract-based technologies and technical standards improve fund operations and the investor experience,” said Mike Dargan, UBS group chief operating and technology officer.
“As the industry continues to embrace tokenized finance, this achievement illustrates how these innovations drive greater operational efficiencies and new possibilities for product composability.”
The transaction is part of a broader initiative by UBS Tokenize, the bank’s internal platform for blockchain-based financial products.
By automating key functions such as order taking, execution and settlement across digital and traditional systems, the technology aims to reduce operational complexity and processing time for the $100 trillion global funds industry.
It follows a recent pilot in which Chainlink connected existing banking systems to blockchains via Swift, the financial messaging network.
That setup used the Chainlink cross-chain interoperability protocol and execution environment to process fund transactions using ISO 20022 messages, allowing banks to access blockchain rails without overhauling legacy infrastructure.
