UK Asset Manager Transfers $68 Billion in Funds to Blockchain via Calastone Token Network

Legal & General Asset Management announced on Wednesday that it has successfully transferred over $68 billion in liquidity funds to a blockchain-based distribution platform developed by Calastone. "We are excited to offer our liquidity funds through the Calastone Tokenized Distribution Network," stated Ross McDonald, liquidity investment specialist at L&G. "Tokenized distribution brings significant improvements in efficiency and reach." The UK-based firm now offers its money market-style funds as tokenized shares on the Calastone Tokenized Distribution Network, leveraging blockchain infrastructure for issuance, trading, and settlement. These funds, denominated in US dollars, euros, and pound sterling, aim to provide capital preservation, same-day settlement, and yield. Calastone's system handles token creation, order routing, trade aggregation, and reconciliation, while integrating with existing fund administration systems. As a result, L&G investors can now purchase, hold, and transfer tokenized units within a permissioned network designed for regulated access. The tokenization of liquidity assets expands investor access to short-term funds, particularly through digital platforms requiring faster settlement and continuous availability. Tokenized versions of the funds are set to launch on Ethereum and compatible blockchains, with plans for expansion to additional networks. According to Simon Keefe, head of digital solutions at Calastone, this launch demonstrates the potential of tokenization to enhance distribution, improve efficiency, and broaden access within a controlled, regulated framework.