Bridging real-world assets in blockchain, Asset Token Ventures (ATV), has launched MBSToken, an innovative solution that brings liquidity, transparency, and efficiency to the $11 trillion mortgage-backed securities (MBS) market.
Designed for institutional accredited investors and qualified purchasers, MBSToken offers on-chain exposure to high-quality MBS assets, traditionally restricted to major financial institutions.
At the core of this initiative are two parallel funds: MBSToken I (for non-U.S. investors) and MBSToken II (for U.S. investors). With the leverage og blockchain technology, Asset Token Ventures aims to democratise access to institutional-grade MBS-backed assets and modernise the fixed-income investment landscape.
“The fixed-income market, particularly MBS, is ripe for innovation,” said David Robnett, co-founder and managing director of ATV. “We are bringing institutional-grade MBS investments on-chain, unlocking liquidity, improving transparency, and offering investors a seamless way to gain exposure to one of the most important financial markets.”
MBSToken: A New Era for Fixed-Income Investment
MBSToken is designed to deliver key advantages that address long-standing inefficiencies in the mortgage-backed securities market:
- High-Quality Backing: MBSTokens are collateralised by pools of mortgage-backed securities, many of which are guaranteed by U.S. government-sponsored entities such as Fannie Mae, Freddie Mac, and Ginnie Mae.
- Tax Efficiency: ATV’s USVI-based funds qualify for a 90% income tax exemption that provides a higher overall yield and may allow investors to defer taxable appreciation until token redemption.
- Blockchain Transparency: Transactions are recorded on an immutable ledger, providing real-time insight into asset performance and portfolio composition.
- Enhanced Security: MBS holdings are structured into bankruptcy remote, stand-alone funds, providing an added layer of investor protection.
- Global Access and Liquidity: MBSToken allows institutional accredited investors and qualified purchasers worldwide to participate in the U.S. mortgage-backed securities market with seamless 24/7 access and liquidity.
Institutional and Investor Participation
MBSToken’s launch shows the growing institutional interest in tokenised real-world assets. ATV has already attracted significant attention from family offices, sovereign wealth funds, and institutional investors looking to diversify their portfolios with secure, yield-generating assets.
“Fixed-income markets are undergoing a digital transformation,” commented John Matheson, co-founder and managing director of ATV. “By leveraging blockchain technology, we are making MBS investments more accessible, more efficient, and ultimately more valuable for global investors.”
Investors interested in participating can submit their applications and complete KYC/AML verification at atvfund.io.
The Broader Impact of Tokenisation in Fixed-Income Markets
The $11 trillion U.S. mortgage-backed securities market plays a critical role in global finance, but historically, its complexity and inaccessibility have limited participation. MBSToken marks a significant step toward digitising fixed-income markets, offering a bridge between traditional financial structures and the efficiencies of blockchain technology.
The launch of MBSToken aligns with a broader industry trend as major financial institutions increasingly explore tokenisation as a means to unlock liquidity, reduce costs, and improve market efficiency. ATV’s innovative approach positions MBSToken as a leader in the evolution of blockchain-powered fixed-income investments.
Paul Talbert, co-founder and managing director of ATV, said, “We believe tokenisation will redefine how capital is deployed in traditional markets. MBSToken is the first step toward a more inclusive and efficient financial ecosystem, one that integrates the best of institutional finance with blockchain’s transformative potential.”
