Goldman Sachs brings $100B Treasury fund to Avalanche via Lynq

Goldman Sachs is plugging its roughly $100 billion FTIXX Treasury fund into the crypto world, but not in the way you might expect. Instead of tokenizing the fund (the approach favored by rivals like BlackRock and Franklin Templeton), Goldman is distributing it through Lynq, a real-time settlement network built on a private, permissioned Avalanche Layer 1 blockchain.

How the plumbing works

Lynq isn’t turning Goldman’s Treasury fund into a token. FTIXX remains a conventional money-market product, subject to the same regulatory framework it always has been. What Lynq provides is a new distribution rail, one that lets crypto-native trading firms access the fund through blockchain-based settlement rather than legacy financial pipes.

Transactions on the platform are processed through tZERO Securities, an SEC-registered broker-dealer. Clients need to pass eligibility checks and maintain a relationship with tZERO to gain access. For now, the offering is limited to eligible US clients.

Lynq’s growing client roster

Lynq has already onboarded more than 30 institutional clients. The roster reads like a who’s who of crypto market infrastructure: B2C2, Wintermute, Galaxy, FalconX, Crypto.com, and Fireblocks are all on the platform.

Collectively, these firms hold more than $89 million in assets on Lynq. The Goldman fund is actually the first external product available on Lynq, which previously offered only a single investment product.

For trading firms, the value proposition is straightforward. Cash sitting idle between trades earns nothing. Parking it in a Treasury fund through Lynq lets that cash generate yield in near-real-time, without requiring firms to wire money out to a traditional brokerage account, wait for settlement, and wire it back when they need liquidity again.

The broader race for institutional yield rails

BlackRock’s BUIDL fund, which tokenizes Treasury exposure on Ethereum, has become one of the most visible examples of traditional finance embracing blockchain infrastructure. Franklin Templeton has pursued a similar path with its own on-chain money-market fund.

What separates Goldman’s approach is its deliberate avoidance of tokenization. By keeping FTIXX in its existing legal and regulatory structure, Goldman sidesteps a host of questions about token classification, custody standards for digital assets, and cross-jurisdictional regulatory treatment. The trade-off is that FTIXX shares can’t move freely across DeFi protocols or serve as collateral in the way that tokenized fund shares theoretically can.

Lynq was established through a collaborative effort among Arca Labs, Tassat Group, and tZERO, officially launched in July 2025 following an 18-month development phase. Lynq migrated in April 2026 to a permissioned Layer 1 infrastructure on Avalanche for better control over validators, configuration, privacy, and performance.