Wisdomtree Launches Debit Card Payments for OnChain Funds
WisdomTree is now allowing debit card holders to withdraw funds directly from its tokenized on-chain funds, according to an October 9 announcement.
Asset manager Wisdomtree has added the Government Money Market Digital Fund (WTGXX) to its list of potential spending sources for its Wisdomtree-branded Visa debit card.
“By connecting our profit-making assets directly to our spending function, users can pay for all their daily purchases in the app with WTGXX Investments, a funding method that generates daily yield until the investment is sold to optimize their spending,” Will Peck, WisdomTree's head of digital assets, said in a statement.
WTGXX holdings. Source: WisdomTree
Related: WisdomTree aims to bring autonomy to regulated RWAs.
WTGXX is a real world asset (RWA) fund consisting of US Treasury bills and other highly liquid assets. As of Oct. 9, it's up 4.6%, WisdomTree said.
The fund currently has approximately $12 million in assets under management (AUM), according to the Wisdomtree website.
Wisdomtree operates more than ten alternative investment funds, ranging from money market instruments to S&P 500 stocks, to US Treasury bonds of varying duration.
The largest by assets under management (AUM) are BlackRock USD Institutional Digital Liquidity Fund (BUIDL) and Franklin Onchain US Government Fund (FOBXX), with AUM of approximately $520 million and $440 million, respectively.
In September, WisdomTree launched an RWA platform designed to allow users to access the asset manager's managed fund tokens from any wallet or blockchain network.
The platform, called WisdomTree Connect, first stores a user's investment funds with third-party custodians by sending a “digital record” to the user's personal wallet, WisdomTree said.
Ultimately, WisdomTree aims to expand access to RWAs “to other client-facing platforms and applications. […] and retail users with self-hosted wallets,” he said.
RWAs – including certified claims on financial assets, commodities or art – already command nearly $13 billion in total value locked (TVL), according to RWA.xyz.
They represent a $30-trillion market opportunity globally, Colin Butler, Polygon's global head of institutional capital, told Cointelegraph in August.
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