WisdomTree is letting debit card holders spend directly from its tokenized onchain money fund, according to an Oct. 9 announcement.
The asset manager has added WisdomTree Government Money Market Digital Fund (WTGXX) to the list of possible spending sources for its WisdomTree-branded Visa debit card, it said.
“By connecting a yield-earning asset directly to our spending functionality, users can fund their daily purchases all within the app with the funding mechanism potentially earning yield every single day via a WTGXX investment until the investment is sold to facilitate spending,” Will Peck, WisdomTree’s head of digital assets, said in a statement.
WTGXX holdings. Source: WisdomTree
Related: WisdomTree aims to bring self-custody to regulated RWAs
WTGXX is a tokenized real-world asset (RWA) fund comprising United States Treasury bills and other highly liquid assets. It yields around 4.6% as of Oct. 9, WisdomTree said.
The fund currently has approximately $12 million in assets under management (AUM), according to WisdomTree’s website.
WisdomTree operates more than a dozen tokenized investment funds, with holdings ranging from money market instruments to S&P 500 stocks, to US treasury bonds of various durations.
The largest by assets under management (AUM) are BlackRock USD Institutional Digital Liquidity Fund (BUIDL) and Franklin OnChain US Government Money Fund (FOBXX), with AUM of approximately $520 million and $440 million, respectively.
In September, WisdomTree launched an RWA platform designed to let users access the asset manager’s regulated fund tokens from any type of wallet or blockchain network.
The platform, dubbed WisdomTree Connect, will initially custody users’ tokenized investment funds with third-party custodians while sending a “digital record” of ownership to the user’s personal wallet, WisdomTree said.
Eventually, WisdomTree aims to expand access to its RWAs “to other customer-facing platforms and apps […] and retail users with self-hosted wallets,” it said.
RWAs — including tokenized claims on financial assets, commodities, or art — already command nearly $13 billion in total value locked (TVL), according to RWA.xyz.
They represent a $30-trillion market opportunity globally, Colin Butler, Polygon’s global head of institutional capital, told Cointelegraph in August.
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