Project Guardian participants, under the leadership of MAS, have initiated five additional pilot projects to test the tokenization of assets in various use cases. These projects encompass listing, distribution, trading, settlement, and asset servicing. The development of these projects is expected to catalyze the institutional adoption of digital assets, unlocking liquidity, exposing investment opportunities, and enhancing the efficiency of financial markets.

Citi, T. Rowe Price Associates, Inc., and Fidelity International are specifically testing mechanisms for efficient price determination, conducting bilateral transactions, and exploring real-time post-trade reporting and analytics.

BNY Mellon and OCBC are focusing on a solution for cross-border currency payments to ensure safe and compatible payment solutions across heterogeneous networks.

Ant Group is piloting treasury management technology to enhance global liquidity management, enabling real-time multicurrency clearing and settlement through a global treasury center in Singapore, supporting over 40 currencies.

Franklin Templeton is exploring the possibility of issuing a tokenized money market fund through a variable capital company (VCC) structure, utilizing digital asset networks for fund share accounting.

J.P. Morgan and Apollo are collaborating to utilize digital assets for seamless portfolio investing and management in trust services, including alternative assets, automated portfolio rebalancing, and scalable adjustments. This initiative will save time and streamline manual processes.

A new direction in fund-related work has been launched as part of the project, with a focus on resolving tax, policy, and legal issues while simultaneously expanding distribution channels for asset managers. MAS will collaborate with ACRA to better assess opportunities and risks in implementing digital fund shares within VCCs.

MAS is also working with international regulators and institutions, including BNY Mellon, DBS, JP Morgan, and MUFG, to study the design of an open infrastructure for hosting tokenized financial assets and applications.

The Global Layer One (GL1) initiative aims to facilitate frictionless cross-border transactions and enable the trading of security tokens through global liquidity pools, ensuring compliance with regulatory requirements and guiding principles.

MAS is collaborating with industry participants to develop an Interchain Networking Model (INM), serving as the foundation for the exchange of digital assets across independent blockchains. This will allow institutions to transact with each other without the need to be on the same chain.

In June, MAS released a report providing preliminary findings from Project Guardian, where participants assessed the viability of DeFi applications and explored the transformation of real assets into digital tokens without risking global financial stability and integrity.