State Street intends to launch a tokenised fund servicing capability from Luxembourg by the end of 2026.
The setup will extend existing fund administration, custody and transfer agency services to support digitally native fund structures alongside traditional funds within a single operating model. The service will be delivered via the firm’s Digital Asset Platform, covering the lifecycle of tokenised fund issuance, administration and custody.
State Street Investment Management is expected to be an early adopter. Angus Fletcher, global head of Digital Asset Solutions at State Street, said the initiative is aimed at “building infrastructure that enables digital and traditional assets to operate together within a unified institutional framework.”
Tokenised and traditional funds are intended to operate under the same governance, risk management and client interface.
Launch market
Luxembourg has been selected as the initial location due to its fund ecosystem and legal frameworks supporting digital assets, states State Street in a press release.
Kim Hochfeld, global head of Cash and Digital Assets at State Street Investment Management, said early adoption allows the firm “to engage on how tokenization fits alongside traditional fund structures,” while maintaining “risk controls, and investor protections.”
The launch remains subject to regulatory approvals and operational readiness.
