Federated Hermes partners with Prometheum to launch tokenized fund shares in 2027
Federated Hermes will work with digital‑securities provider Prometheum to bring blockchain‑based fund share classes to traditional U.S. brokerage accounts. The asset manager, which oversaw about $912 billion in assets mid‑2026, expects its first tokenized product to be available in the first quarter of 2027, likely a money‑market fund. Prometheum will supply regulated brokerage, custody, clearing and settlement services, while Federated Hermes will create and issue the digital securities directly.
Why it matters
The partnership could give retail and institutional investors access to on‑chain fund shares through familiar brokerage platforms, potentially speeding adoption of tokenized assets. The company says the move may improve settlement speed and enable new uses such as collateral, which could broaden demand for its liquidity products.
Key facts
- 1Federated Hermes and Prometheum announced a partnership to distribute tokenized securities through Prometheum’s SEC‑registered broker‑dealer network. investing.com
- 2The firms aim to launch the first tokenized fund product in the first quarter of 2027. crowdfundinsider.com
- 3Federated Hermes managed roughly $912 billion in assets as of mid‑2026. crowdfundinsider.com
- 4Kevin Barr, director of digital assets at Federated Hermes, said the firm will issue the digital securities directly rather than relying on third‑party token issuers. coindesk.com
- 5Prometheum will provide brokerage, custody, clearing and settlement services via its subsidiaries ProFinancial and Prometheum Capital. investing.com
- 6Money‑market or other liquidity‑focused funds are expected to be the initial product type. crowdfundinsider.com
Summary written by AlphAI AI Desk from 3 of 3 sources. Not investment advice. Figures are as stated by the linked sources.