Baillie Gifford Launches Tokenized Bond Fund on Ethereum and Solana

UK-based asset manager Baillie Gifford has launched a tokenized bond fund that leverages the Ethereum and Solana blockchains to manage on-chain legal ownership records for a UK-regulated bond fund.

The move signals growing institutional interest in blockchain-based asset management beyond cryptocurrencies, with Baillie Gifford aiming to balance security, scalability, and cost-efficiency by using both networks.

Ethereum was selected for its established smart contract ecosystem and widespread institutional adoption, while Solana offers higher transaction throughput and lower fees. The fund's legal ownership records remain on-chain, but the underlying assets, UK government bonds and corporate debt, are held off-chain in traditional custody.

This launch is a significant milestone for real-world asset tokenization, with Baillie Gifford navigating regulatory requirements while benefiting from blockchain efficiency.