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Securitize Secures $47M Strategic Funding Led by BlackRock

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Securitize Secures $47M Strategic Funding Led by BlackRock

Securitize, a digital securities platform, has successfully raised $47 million in a strategic funding round. The funding was led by BlackRock, one of the world’s leading investment management companies. Other investors included blockchain developers Aptos Labs and Paxos, as well as stablecoin issuer Circle. Securitize plans to use the proceeds for product development, expanding globally, and strengthening partnerships in the financial services industry.

As part of the investment, Joseph Chalom, BlackRock’s global head of strategic ecosystem partnerships, will join the Securitize board of directors. Chalom sees this investment as a crucial step in the evolution of BlackRock’s digital assets strategy, enabling them to meet the future needs of their clients.

Securitize has an existing partnership with BlackRock as a transfer agent, tokenization platform, and placement agent. Together, they launched the BlackRock USD Institutional Digital Liquidity Fund (BUIDL) on the Ethereum blockchain in March. BUIDL is BlackRock’s first tokenized fund, investing in cash, United States Treasury bills, and repurchase agreements. It pays dividends daily through a monthly deposit of tokens worth $1.

BUIDL holders have the option to transfer their shares to Circle in exchange for USD Coin (USDC), a stablecoin. Since its launch, BUIDL has amassed a market cap of $375 million in just six weeks, making it the largest tokenized treasury fund. This surpasses the Franklin OnChain U.S. Government Money Fund (BENJI) by $7 million. According to RWA.xyz, there is currently $1.28 billion locked in tokenized U.S. treasuries and bonds.

Apart from BlackRock, other contributors to the funding round include investment manager Hamilton Lane, ParaFi Capital, and Tradeweb Markets. The CEO of Aptos Labs, Mo Shaikh, expressed excitement about bridging the gap between traditional finance and open finance with partners like BlackRock and Securitize, predicting that the future of finance will occur onchain.

Securitize is a registered broker-dealer and transfer agent with the Securities and Exchange Commission (SEC). It is also a member of the Financial Industry Regulatory Authority (FINRA) self-regulatory organization.

10 thoughts on “Securitize Secures $47M Strategic Funding Led by BlackRock

  1. They’re just using fancy words to mask the fact that this is all just a big gamble.

  2. Great, more speculation and volatile investments in the cryptocurrency space. Just what we needed.

  3. Blockchain, cryptocurrency, digital securities… It’s all just a fad. It’ll fade away soon enough.

  4. BlackRock should stick to what they know best instead of jumping on every bandwagon. 🙄✋

  5. Exciting times ahead for the financial industry as Securitize bridges the gap between traditional finance and open finance! Partnerships with industry leaders like BlackRock will drive innovation.

  6. Congratulations to Securitize for being a registered broker-dealer and transfer agent with the SEC! 🙌 Their commitment to compliance and regulation is commendable. ✅📝

  7. A round of applause for all the contributors to the funding round, including Hamilton Lane, ParaFi Capital, and Tradeweb Markets! This shows the strong support for the future of digital securities.

  8. Kudos to Circle for offering BUIDL holders the option to transfer shares for USD Coin (USDC)! A stablecoin option adds even more value to this exciting venture.

  9. Big thumbs up to BlackRock for leading the funding round! It’s great to see such a prominent investment management company recognizing the potential of digital securities.

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