Fidelity’s Lai Says Tokenization’s Real Play for Pension Funds Is Balance-Sheet Management

Fidelity International’s Giselle Lai said the most compelling long-term use case for tokenized funds for pension funds and other large institutions is balance-sheet management, not just 24/7 liquidity. According to CoinDesk, Lai said global institutions often hold cash across multiple bank accounts to meet regulatory needs and manage currency exposure, with deposits frequently earning no return; tokenized instruments could move more efficiently, earn yield around the clock and improve capital efficiency. She noted tokenized money market funds, led by BlackRock’s BUIDL launched in March 2024, have helped drive the category to more than $15 billion AUM.