Franklin Templeton, a global investment management firm, and leading cryptocurrency exchange Binance announced a new institutional off-exchange collateral program on Wednesday (February 11).
The partnership between the two will enable eligible institutional clients to use tokenized shares of Franklin Templeton’s money market funds as collateral when trading on Binance.
Ceffu, Binance’s institutional crypto-native custody partner, will provide custody support.
Under the terms of the partnership, Binance will expand its offerings by allowing tokenized money market fund shares issued through Franklin Templeton’s Benji Technology Platform to meet growing institutional demand for stable, yield-bearing collateral that can settle 24/7. The program will allow institutional traders to use these traditional, regulated yield-bearing assets in digital markets without having to park the assets directly on the exchange.
While the value of the tokenized fund shares will be mirrored within Binance’s trading environment, the actual assets will remain securely held off-exchange in Ceffu’s regulated custody.
The program is designed to make digital markets more secure and capital-efficient for institutions by reducing counterparty risk and allowing users to safely earn yield as their assets support trading activity on Binance.
“Since partnering in 2025, our work with Binance has focused on making digital finance actually work for institutions,” said Roger Bayston, head of digital assets at Franklin Templeton. “Our off-exchange collateral program is just that: letting clients easily put their assets to work in regulated custody while safely earning yield in new ways. That’s the future Benji was designed for, and working with partners like Binance allows us to deliver it at scale.”
“Partnering with Franklin Templeton to offer tokenized real-world assets for off-exchange collateral settlement is a natural next step in our mission to bring digital assets and traditional finance closer together,” said Catherine Chen, head of VIP and institutional at Binance. “Innovating ways to use traditional financial instruments on-chain opens up new opportunities for investors and shows just how blockchain technology can make markets more efficient.”
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