Jump Crypto has acquired a substantial equity stake in Securitize for an undisclosed sum
Jump Crypto, the digital asset division of Chicago-based quantitative trading firm Jump Trading, has acquired a substantial equity stake in Securitize. This company specializes in the tokenization of real-world assets.
The financial details of the agreement were not disclosed.
This partnership aims to improve collateral management solutions and institutional access to tokenized assets, such as Treasurys, private credit, and private equity, particularly in light of the increasing demand for real-world asset tokenization.
Michael Sonneshein, COO of Securitize, in a statement, said:
“We think that the market should be digesting this investment really as a signal that firms like Jump now have conviction in not only tokenization, but the role and the impact that tokenization is having on capital markets, capital formation and investment accessibility on chain,”
According to rwz.xyz, blockchains represent more than $22 billion in real-world assets.
Securitize’s initial external investment since BlackRock’s $47 million financing round last year is Jump’s backing.
BlackRock’s BUIDL fund is the organization’s inaugural investment vehicle emphasizing blockchain technology. The fund manages $2.86 billion in assets and operates similarly to a money market fund.
The significance of this agreement
The investment in tokenized Treasury products has increased by 800% since its launch a little over a year ago, reaching nearly $7 billion.
This expansion implies that investors searching for superior returns are becoming more intrigued by these novel, blockchain-based investment alternatives.
Securitize is preparing to introduce Converge, a novel blockchain developed with Ethena Labs.
Converge aims to offer a compliant gateway for institutional capital into DeFi, focusing on supporting DeFi and tokenized assets. The launch is scheduled for this quarter.
