Blackrock Leads $47 Million Investment Round in Securitize to Boost Tokenization Efforts
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Blackrock, the largest asset management firm globally, has spearheaded a $47 million strategic investment round in Securitize, a company specializing in the digitization of capital markets. This funding round, which attracted participation from various financial market participants and crypto-native startups, underscores Blackrock’s confidence in the transformative potential of tokenization for the global capital markets.
Blackrock leads a $47 million strategic investment in Securitize, affirming its belief in the transformative impact of tokenization.
As the world’s premier asset management firm, Blackrock is banking on the revolutionary potential of tokenization in the capital markets.
The firm has orchestrated a $47 million strategic investment in Securitize, a company at the forefront of market digitization that employs decentralized technology to record financial assets on the blockchain.
Diverse Participation in Funding Round
Hamilton Lane, a private market investment firm; Parafi Capital, a venture capital firm focused on cryptocurrency; and Tradeweb, a market operating company, were key participants in the funding round. They were joined by crypto-native firms such as Aptos Labs, Circle, and Paxos, contributing to a robust investment group.
Securitize’s Strategic Expansion
Securitize plans to use the funds raised in this round to propel its mission of integrating financial markets with blockchain technology. The investment will fuel innovation and expansion efforts, reinforcing Securitize’s leadership in the asset tokenization industry. The company is poised to enhance its offerings and solidify its position at the forefront of this transformative technology.
Future of Tokenization
Carlos Domingo, CEO of Securitize, expressed his firm belief in the transformative capabilities of blockchain technology, especially in the realm of finance and tokenization. He anticipates significant changes in how financial services are structured and delivered, highlighting the promising future of this technology.
Blackrock’s Strategic Involvement
The funding round also includes the appointment of Joseph Chalom, Blackrock’s Global Head of Strategic Ecosystem Partnerships, to Securitize’s board of directors. Chalom’s addition underscores the importance of this investment in shaping Blackrock’s future in digital assets. He stated, “We believe that tokenization has the potential to significantly revolutionize capital market infrastructure. Our investment in Securitize represents the next phase in the evolution of our digital asset strategy.”
Blackrock’s First Tokenized Fund
Securitize is facilitating subscription access to Blackrock’s USD Institutional Digital Liquidity Fund (BUIDL), marking the firm’s first foray into tokenized funds. The BUIDL fund, primarily invested in cash and US Treasury bills, offers token holders a stable value of $1 while also distributing dividends directly to their wallets. This structure provides both stability and passive income potential, showcasing an innovative approach to traditional financial instruments.
