BlackRock Leads $47M Strategic Funding Round for Securitize
Securitize, a leading player in real-world asset tokenization, has successfully closed a strategic funding round, raising $47 million with BlackRock taking the helm. This investment underscores the growing importance of blockchain technology in revolutionizing capital markets infrastructure.
The funding round, which saw participation from prominent firms including Hamilton Lane, ParaFi Capital, and Tradeweb Markets, marks a significant milestone for Securitize. BlackRock’s Global Head of Strategic Ecosystem Partnerships, Joseph Chalom, will join Securitize’s board of directors, highlighting the strategic alignment between the two entities.
Securitize’s Co-Founder and CEO, Carlos Domingo, expressed gratitude for the support from investors, emphasizing the company’s commitment to driving compliant digitalization in financial markets through blockchain technology. Domingo’s sentiments echo the broader industry sentiment, indicating a collective belief in the transformative potential of blockchain in reshaping the future of finance.
The collaboration between Securitize and BlackRock extends beyond mere investment. In March, the two entities partnered to launch the BlackRock USD Institutional Digital Liquidity Fund (BUIDL) on Ethereum, a move aimed at tokenizing investment funds. BUIDL, designed to invest in cash, U.S. Treasury bills, and repurchase agreements, has rapidly gained traction, accumulating $375 million in assets under management within a short timeframe.
The success of BUIDL underscores the growing demand for tokenized investment vehicles, offering investors enhanced liquidity, transparency, and efficiency. As traditional financial institutions increasingly embrace blockchain technology, initiatives like BUIDL serve as a testament to the potential of digital assets to reshape the investment landscape.
Beyond BlackRock, Securitize’s funding round saw participation from crypto-native firms like Paxos, Circle, and Aptos Labs, highlighting the convergence of traditional finance and decentralized finance (DeFi). This convergence signifies a broader trend towards the integration of blockchain technology into mainstream financial services, promising greater efficiency, accessibility, and innovation.
Looking ahead, Securitize plans to leverage the proceeds from the funding round to accelerate product development, expand its global footprint, and strengthen partnerships within the financial services ecosystem.
