Franklin Templeton Expands Tokenized Collateral Service to Bybit

Franklin Templeton has expanded its over-the-counter collateral program to the Bybit exchange. Investors can now use shares of the firm's tokenized money market fund, which holds approximately 686 million dollars in net assets, as collateral to borrow USDT or USDC for trading. Users continue to earn yields on the underlying assets, which currently offer a 7-day annualized return of about 3.7 percent, while the assets remain in off-exchange custody with ByCustody. This service allows collateral value to be mapped into the trading system for liquidity without requiring direct asset transfers to the exchange. Franklin Templeton previously established similar collateral partnerships with Binance and OKX.