Baillie Gifford Launches Tokenized Bond Fund BAGEY on Ethereum and Solana

Edinburgh-based asset manager Baillie Gifford has launched a tokenized bond fund, called BAGEY, on Ethereum and Solana. The Enhanced Yield Fund aims to provide eligible professional investors with a short-duration portfolio yielding approximately 7% annually.

The fund began operating on June 22, 2026, through Baillie Gifford's digital assets unit, BGDA UK. It has a minimum investment requirement of $100 and accepts settlement in USDC or fiat currencies.

BAGEY holds a mix of public corporate and government bonds with an average credit quality rating of BBB and a duration of roughly two years.

The fund's shares are created directly on public blockchains, using Ethereum and Solana as the ownership record. This eliminates the need for a traditional wrapper between investors and the tokens.