Sygnum undertakes the tokenization of Matter Labs’ reserve treasury worth USD 50 million on the zkSYNC blockchain, marking a step towards integrating digital assets into the financial economy. These security tokens, managed by Sygnum, mirror Fidelity International's Institutional Liquidity Fund (ILF), valued at USD 6.9 billion, showcasing blockchain's transformative potential in finance.

Matter Labs, specializing in software development, engineering, and cryptography, is currently enhancing Ethereum and zk-rollup technology, including zkSync. This initiative focuses on zkSync, a layer 2 blockchain protocol designed for scalability. By tokenizing part of its reserve treasury on the zkSync blockchain, Matter Labs aims to encourage more businesses to leverage on-chain financial tools.

Fidelity's money market fund underwent tokenization using Sygnum's multi-chain services, a significant step in integrating traditional securities into blockchain. According to Jurg Rimie, Country Head Switzerland at Fidelity International, this collaboration assists professional and institutional investors in accessing the market, bridging the gap between digital assets and traditional finance.

Fatmire Bekiri, Head of Tokenization at Sygnum, highlights the partnership with Fidelity and the utilization of zkSync, underscoring Sygnum's mission to unite blockchain with the capabilities of leading financial institutions. Sygnum, akin to Fidelity, leverages blockchain technology to create a space where Crypto and Trad-Fi operate synergistically.

Marco Cora, Senior Vice President of Business and Operations at Matter Labs, emphasizes the company's commitment to transparency, asserting that zkSync is institutionally secure. He believes that tokenizing part of Fidelity's market maker fund on zkSync with Sygnum will enhance financial markets' openness and liquidity.

The tokenization of Fidelity's market maker fund is part of the broader trend in the RWA tokenization space, which saw a 74% increase to USD 2.5 billion last year. This growth is driven by the demand for more liquid, accessible, and transparent financial markets. Matter Labs leverages blockchain to create new possibilities and enhance financial tools, fostering innovation and efficiency.