AlloyX introduces RYT, a fully compliant tokenised money market fund on Polygon, enabling seamless on-chain trading, collateralisation, and institutional confidence through regulated custody and real-time reserves verification.

Tokenization infrastructure company AlloyX has rolled out a new tokenized money market fund on the Polygon blockchain, which is pretty exciting because it marks a notable step forward in connecting traditional finance assets with the world of decentralized finance (DeFi). The fund, called the Real Yield Token or RYT, essentially represents shares in a conventional money market fund. Its assets are held by Standard Chartered Bank in Hong Kong, and everything's fully compliant with regulations and regularly audited—a key point for institutional confidence. This move emphasizes how quickly real-world assets (RWAs) are making their way onto blockchain platforms, and it clearly shows that big investors are increasingly interested in tokenized cash management solutions.

RYT mainly invests in short-term, low-risk securities like US Treasurys and commercial paper, so it’s similar to the usual money market funds in terms of risk and liquidity. But what’s interesting is that, thanks to tokenization, these holdings can now be traded directly on-chain, which means they can work seamlessly across different DeFi protocols. In fact, RYT’s tokens can be used as collateral in DeFi lending, enabling users to borrow assets against their shares and then reinvest those funds—sort of like creating a loop to boost yields. This feature really sets AlloyX apart from other big players like BlackRock’s USD Institutional Digital Liquidity Fund, or the tokenized money market funds from Goldman Sachs and BNY Mellon. Those products usually don’t have the same native DeFi features like composability or around-the-clock liquidity.

Polygon was picked as the platform for this launch primarily because of its low transaction costs, fast settlement times, and its well-developed DeFi ecosystem. It’s a pretty handy environment for delivering efficient, yield-focused strategies that are still compliant. The fund operates on a daily cycle with T+1 settlement, and some key data points are published on-chain to improve transparency. To bolster confidence further, AlloyX has integrated Chainlink’s Proof of Reserve and NAVLink services across Polygon and Arbitrum chains, offering real-time verification that RYT tokens are backed by AAA-rated assets off-chain, managed by China Asset Management, and securely custodied by Standard Chartered. Honestly, this addresses a major institutional concern—making sure the tokens on-chain accurately reflect what's happening off-chain.

This launch comes at a time when more institutions are exploring tokenized money market funds as a way to blend the liquidity and yield qualities of cash-like instruments with the operational efficiencies and composability of blockchain technology. Moody’s, for example, has observed a quick growth in tokenized short-term liquidity funds, estimating that by mid-2023, the market was around $5.7 billion. The tokenized Treasury market alone hit about $8 billion by October, with average yields around 3.93%. Plus, recent regulatory developments like the US GENIUS Act and a rise in stablecoin use have made these tokenized instruments more attractive as collateral that can still preserve yields, according to JPMorgan strategist Teresa Ho.

While many big banks and asset managers—such as Goldman Sachs and BNY Mellon—are collaborating with firms like BlackRock and Fidelity to develop tokenized money market funds, AlloyX’s RYT stands out because of its strong DeFi integration and native composability. The combination of institutional-grade custody and blockchain-native programmability makes this a versatile tool for investors who want regulatory peace of mind but also crave innovative liquidity and yield solutions. Polygon Labs, for their part, is supporting the project with technical integration and ecosystem development, planning to expand it to other blockchains once the initial phase, which is currently exclusive to Polygon, wraps up.

AlloyX’s move signals a broader shift in financial markets infrastructure—more traditional asset managers and banks are now embracing blockchain to boost transparency, liquidity, and operational efficiency. By blending secure custody with decentralized, programmable tokens, RYT aims to fulfill the evolving demands of institutional investors who need regulatory certainty but also want access to new, yield-generating opportunities. It’s pretty fascinating, right? This kind of innovation might just reshape how cash and short-term assets are managed in the future.

Source: Noah Wire Services

Verification / Sources

  • https://cointelegraph.com/news/alloyx-tokenized-money-market-fund-polygon?utm_source=rss_feed&utm_medium=rss&utm_campaign=rss_partner_inbound - Please view link - unable to able to access data
  • https://cointelegraph.com/news/alloyx-tokenized-money-market-fund-polygon?utm_source=rss_feed&utm_medium=rss&utm_campaign=rss_partner_inbound - AlloyX, a Hong Kong-based tokenization infrastructure company, has launched the Real Yield Token (RYT), a tokenized money market fund on the Polygon network. The RYT fund combines bank-custodied assets with decentralized finance (DeFi) strategies, allowing holders to use their shares as collateral across DeFi protocols. The underlying assets are held in custody by Standard Chartered Bank in Hong Kong, ensuring regulatory compliance and audits. The fund invests in short-term, low-risk instruments such as US Treasurys and commercial paper, with tokenization enabling on-chain trading within DeFi ecosystems. Polygon was chosen for its low fees, fast transactions, and robust DeFi ecosystem. This launch reflects the growing trend of integrating real-world assets into blockchain platforms, with other institutions like BlackRock, Goldman Sachs, and BNY Mellon also exploring tokenized money market funds.
  • https://www.alloyx.com/post/alloyx-integrates-chainlink-standard-to-enhance-transparency-of-ryt - AlloyX has integrated Chainlink's Proof of Reserve and NAVLink services into its Real Yield Token (RYT) to enhance transparency. These integrations, now live on both Arbitrum and Polygon chains, provide real-time, verifiable transparency for RWA-backed tokens. Proof of Reserve allows users to verify that RYT is sufficiently backed by off-chain AAA-rated assets managed by ChinaAMC and custodied by Standard Chartered. The NAVLink feed ensures that the value of RYT remains accurate, auditable, and aligned with its underlying holdings. This integration strengthens AlloyX's commitment to delivering a compliance-focused, secure, and transparent RWA ecosystem on-chain, addressing institutional concerns about on-chain financial products.
  • https://www.goldmansachs.com/pressroom/press-releases/2025/bny-goldman-sachs-launch-tokenized-money-market-funds-solution - Goldman Sachs and Bank of New York Mellon (BNY) have announced a collaboration to enable institutional investors to purchase tokenized money market funds. Clients of BNY will be able to invest in money market funds whose ownership is recorded on Goldman's blockchain platform. This initiative aims to enhance the utility and transferability of existing money market fund shares, marking a significant step towards integrating blockchain technology into traditional financial products. The project has already signed up fund managers including BlackRock, Fidelity Investments, and Federated Hermes, as well as the asset management arms of Goldman Sachs and BNY Mellon.
  • https://polygon.technology/blog/alloyx-launches-tokenized-money-market-fund-real-yield-token-ryt-on-polygon - AlloyX, Asia's leading stablecoin service provider, has launched the Real Yield Token (RYT), a compliant tokenized money market fund, exclusively on Polygon. RYT acts as a bridge between regulated liquidity and programmable finance, allowing users to access institutional-grade yield while leveraging the efficiency of DeFi. The fund is designed for capital efficiency and yield maximization, with features like looping—supplying tokens as collateral, borrowing against them, and repeating—to amplify liquidity and returns. Hong Kong-based Standard Chartered Bank provides custody and acts as registrar. The fund operates on daily cycles with T+1 settlement, and selected data is published on-chain for transparency. Polygon Labs supports the launch with technical integration and ecosystem expansion, with plans to expand to other networks after the exclusivity period.
  • https://coinness.com/en/news/88202 - AlloyX, a Hong Kong-based stablecoin infrastructure firm, has launched a tokenized money market fund (RYT) on the Polygon network, with Standard Chartered Bank serving as the dedicated custodian. The fund is designed to combine DeFi liquidity with a regulatory-compliant structure, and some of its data will be made public on-chain. This initiative reflects the growing trend of integrating real-world assets into blockchain platforms, offering institutional investors a bridge between traditional regulated fund products and blockchain-based financial infrastructure.
  • https://blockworks.co/news/polygon-alloyx-standard-chartered - Polygon has become the launch venue for a new tokenized money market fund (MMF) developed by AlloyX, with Standard Chartered Bank taking on the roles of custodian and registrar. The partnership is designed to offer institutional investors a bridge between traditional regulated fund products and blockchain-based financial infrastructure. At the center of the rollout is the AlloyX Real Yield Token (RYT), which represents exposure to the China Asset Management Select USD Money Market Fund. Unlike conventional shares, these tokens are issued and transacted on Polygon’s blockchain, while Standard Chartered ensures off-chain asset custody and recordkeeping.

Noah Fact Check Pro

The draft above was created using the information available at the time the story first emerged. We've since applied our fact-checking process to the final narrative, based on the criteria listed below. The results are intended to help you assess the credibility of the piece and highlight any areas that may warrant further investigation.

Freshness check

Score: 10

Notes: ✅ The narrative is fresh, with the earliest known publication date being October 2, 2025. The launch of the Real Yield Token (RYT) on Polygon is a recent development, and no earlier versions with different figures, dates, or quotes were found.

Quotes check

Score: 10

Notes: ✅ No direct quotes were identified in the provided text, indicating potential originality or exclusivity. The absence of direct quotes suggests that the content may be original or exclusive.

Source reliability

Score: 8

Notes: ⚠️ The narrative originates from Cointelegraph, a reputable organisation. However, the article includes a link to a press release from AlloyX, which typically warrants a high freshness score but may indicate potential bias.

Plausability check

Score: 9

Notes: ✅ The claims made in the narrative are plausible and align with recent developments in the blockchain and finance sectors. The integration of traditional finance with decentralized finance (DeFi) through tokenized money market funds is a growing trend. The involvement of established entities like Standard Chartered Bank and the use of the Polygon blockchain add credibility to the claims.

Overall assessment

Veredict (FAIL, OPEN, PASS): PASS

Confidence (LOW, MEDIUM, HIGH): HIGH

Summary: ✅ The narrative is fresh, with no evidence of recycled content. The absence of direct quotes suggests originality. While the inclusion of a press release link may indicate potential bias, the involvement of reputable organisations and the plausibility of the claims support the overall credibility of the narrative.