Moody’s Awards Investment-Grade “A” Rating to OpenEden’s Tokenized T-Bills

OpenEden
3 min readJun 20, 2024

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The global credit rating agency, Moody’s Ratings, has awarded an “A” rating to Hill Lights International Limited — the regulated mutual fund that issues OpenEden’s tokenized U.S. T-bills (“TBILL”).

The rating places OpenEden’s TBILL tokens within the “investment-grade” quality category.

According to Moody’s Ratings and Symbols Definitions:

“Money Market Funds and Bond Funds rated A … are judged to possess many favorable investment attributes and are considered as upper-medium-grade investment vehicles”.

Moody’s noted that the credit quality of the underlying assets (principally U.S. T-Bills and reverse repurchase agreements collateralised by U.S Treasuries) backing our TBILL tokens, to be in line with an Aaa rating.

An Industry First

This makes OpenEden’s flagship offering the first and only tokenized US T-Bill product globally, to receive a credit rating..

Receiving an ‘A’ rating from Moody’s is a significant milestone for the Real World Tokenisation (“RWA”) vertical, and a vote of confidence in our tokenized T-Bill platform.

This rating demonstrates that our robust risk management practices, regulatory compliance, and commitment to transparency meet the highest standards recognized by traditional financial institutions.

It validates our dedication to building a reliable primitive for the DeFi ecosystem to access tokenized U.S. Treasury Bills as a source of on-chain yields.

Yields from on-chain assets, and DeFi protocols can come from a blend of different sources like options strategies, staking, and more. Our TBILL token offers a trusted way for DeFi apps to access the risk-free rate.

Growing Network of Partners to Expand TBILL Utility

T-Bills have largely been held as an alternative to cash. But tokenization enables greater utility beyond just holding them in your wallet. The composable, and programmable nature of ERC-20 tokens opens up a variety of use cases across different DeFi platforms and protocols.

We’ve partnered with Hidden Road Partners, and Standard Chartered’s Zodia Custody to allow institutional asset owners to utilise their TBILL tokens as an eligible collateral for financing.

Access to our TBILL tokens is also key to gaining adoption among institutions.

That’s why OpenEden has also partnered with BitGo, HexTrust and SCB-backed Rakkar Digital to offer seamless access to our TBILL tokens for financial institutions such as hedge funds, buy-side asset managers and corporate treasuries.

We’re partnering with payment companies, DeFi protocols, crypto wallets, and other Web3 apps to give users across different blockchains access to T-Bill yields.

We’re also working to increase access to TBILLs across more platforms and protocols. Reach out to us if you’re interested in working with us!

Bringing On-chain Yields to Payments

Yields are what attract investors to acquire and hold crypto. But payments keep people using crypto to facilitate a greater share of economic activities.

Payments remain one of crypto’s most convincing “killer apps” to date, as evidenced by the rapidly growing adoption of stablecoins.

However, despite the billions of dollars stablecoin issuers generate in annual revenues, the largest players have yet to share those yields with stablecoin users.

We believe introducing easy access to reliable, yield-bearing payment tokens is key to onboarding the next billion users into crypto.

That’s why we’re raising a fresh round of funding to explore the introduction of on-chain yields into more payment-focused use cases.

More on this to come in the following months! Follow us on X to stay updated.

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OpenEden

First smart contract vault to offer direct access to U.S. Treasury Bills.