United Bank of Switzerland (UBS) recently impacted the financial space by launching its first-ever tokenization fund. The latest innovation, a UBS USD Money Market Investment Fund Token (uMINT), leverages the Ethereum network technology. With uMINT, users can effectively tokenize their investment earnings.
Meanwhile, the upgraded technology is part of UBS’ plans to expand its operational services, including digital asset control strategies. Interestingly, the lack of effective monetary control options partly motivated the banking firm’s new release, targeting Singapore-based investors.
Speaking on the new development, Thomas Kaegi, Co-Head of UBS Asset Management APAC, remarked: “We have seen growing investor appetite for tokenized financial assets across asset classes. Through leveraging our global capabilities and collaborating with peers and regulators, we can now provide clients with an innovative solution.”
UBS Roles in Driving Blockchain Technology Adoption
While uMINT would undoubtedly expand UBS operations, the banking giant has attained great feats in the financial landscape. Such instances played out when it engaged in inter-regional digital asset transactions in 2023, a feat it never achieved in years.
UBS reportedly spearheaded the variable capital company initiative, contributing to blockchain development and driving its adoption and utility. Under the influence of its blockchain advancements, the Swiss-based bank issued digital structured notes valued at about RMB 200 million ($37.16 million).
Impressive Financial Records
The financial news report noted that the penultimate quarter of the year was successful in the UBS service year. The institution made a mind-blowing profit of about $1.43 billion from forex, interest rates, and other equity derivatives.
Aside from the attractive sum highlighted above, UBS group revenue was seemingly impressive. As against the speculated monetary returns of $11.78 billion, the Switzaland financial firm generated about $12.33 billion in group income.
Meanwhile, compared to last year’s success rate, the Investment Banking Sector of UBS saw a notable 36% increment, signifying a continuously growing economy. Interestingly, there was a 7.3% return on tangible assets against the 5.9% recorded in the past quarter.
In conclusion, judging by UBS’s achievements and remarkable monetary records, the platform upgraded its status in the financial system by solving the problem of tokenizing financial commodities, including tangible and virtual assets.
