- Baillie Gifford launches BAGEY, a dollar-denominated tokenized yield fund on Ethereum and Solana via the BNY partnership.
- The fund supplies eligible buyers with publicity to a short-term portfolio of actively managed publicly traded company bonds with a yield of roughly 7%.
- BNY will present the tokenization and pockets infrastructure, NatWest will act because the custodian, and each Baillie Gifford and BNY be part of the FCA’s record of registered crypto firms, underscoring the regulatory construction behind their launch on the general public chain right this moment.
bailey gifford is launched We created a tokenized yield fund for Ethereum and Solana via our partnership with BNY, bringing one of many oldest names in conventional finance to our public chain fund infrastructure. The Baillie Gifford Enhanced Yield Fund (BAGEY) is dollar-denominated and supplies accredited buyers with entry to an actively managed short-term public company debt portfolio. What’s unusual is not simply that the 118-year-old Edinburgh funding agency is utilizing blockchain. that is it Regulated bond funds are issued instantly on-chainmaking Ethereum and Solana a part of the fund’s working construction quite than a advertising and marketing wrapper.
$BAGEY has been launched in Solana.
Baillie Gifford (@BGDA_UK) Enhanced Yield Fund is the primary publicly accessible absolutely native UK-regulated tokenized fund issued on-chain, settled in USDC, and in-built BNY.
Not a rapper. Blockchain is a register of information. pic.twitter.com/jH1p55UY8q
— Solana (@solana) June 22, 2026
The Fund is managed via a UK-regulated open-ended funding firm (OEIC) and is on the market to accredited buyers within the UK, Switzerland and the Cayman Islands, topic to relevant legal guidelines, laws and distribution restrictions. At present, the yield is round 7%, making the product extra much like an institutional bond than a speculative crypto publicity. This distinction is necessary as a result of Tokenized funds are nonetheless conventional credit score merchandiseis constructed round company bonds, though possession and record-keeping is shifting to blockchain rails for accredited buyers.
BNY partnership supplies institutional plumbing for the fund
BNY will present the tokenization and pockets infrastructure, and NatWest Trustee and Depositary Providers will act because the fund’s custodian. This division of duty permits the fund to make use of Ethereum and Solana as its record-keeping community, whereas sustaining the acquainted custodial, custodial, and compliance roles inside the construction. Theo Golden, head of digital belongings and tokenization at Baillie Gifford, described the launch as extra than simply placing tokens on prime of current funds. In his view, Blockchain turns into a report e-bookgiving buyers direct possession and direct claims via an on-chain construction from the start.
The regulatory context is equally necessary. Each Baillie Gifford and BNY have been added to the Monetary Conduct Authority’s record of registered crypto firms, underscoring that the launch is being constructed inside a monitored framework. BNY’s Katey Neate defined that tokenization is shifting from an idea to a real-world software, with regulated fund buildings adapting to a extra digital market. For Ethereum and Solana, What’s necessary is institutional verification of public chainsnot one other DeFi experiment. The check now could be whether or not accredited buyers discover tokenized bond publicity operationally helpful sufficient to justify shifting past conventional fund administration to direct on-chain possession at scale throughout regulated international markets over the long run.
