Tokenised fund units are the individual shares or units of tokenized funds: holdings in an investment fund that are issued, recorded and transferred as digital tokens on a distributed ledger instead of, or alongside, entries in a conventional register. The main entry explains how such funds are structured, regulated and used.
The phrase puts the emphasis on the unit and not on the fund. Each token stands for a unit with the same rights as any other unit of its share class, including a claim on the fund's net asset value. What changes is the record of ownership. In some structures the ledger is the legal register and is maintained by an on-chain transfer agent; in others the token mirrors a traditional register kept elsewhere.
Units are usually transferable only between approved investors, a restriction enforced through token allowlisting. Subscriptions and redemptions still follow the fund's dealing rules, though some funds settle them in stablecoins or tokenised cash. Units of a tokenized money market fund are the most widely used example and have been accepted as collateral in some markets.