Coinbase has migrated its Bitcoin Yield Fund to its Base blockchain and partnered with financial services firm Apex Group to launch tokenized shares of the fund.
Anthony Bassili, Coinbase's president of asset management, stated that the share class will "integrate identity and eligibility at the token level" to meet regulatory compliance requirements.
Financial institutions have been seeking to tokenize stocks, bonds, funds, commodities, and real estate through blockchain technology, aiming to reduce costs, accelerate settlement, and enable 24/7 trading.
Apex Group provides institutions with access to ERC-3643 tokens.
The share class utilizes the ERC-3643 permissioned token standard, designed to ensure that only eligible investors can access this Bitcoin yield product.
Coinbase plans to offer tokenized shares of the Coinbase Bitcoin Yield Fund to U.S. investors in the future.
Apex Group will serve as the on-chain transfer agent for the tokenized Coinbase Bitcoin Yield Fund, responsible for managing token ownership, enforcing compliance and transfer rules, and maintaining transaction records on the Base blockchain.