Securitize Launches Fund, Offering U.S. First Tokenized Exposure to KKR Fund – Business Wire | Jewelry Dukan

NEW YORK–(BUSINESS WIRE)–Securitize, a leading securities firm for digital assets, today announced the launch of a fund tokenizing an interest in KKR’s Health Care Strategic Growth Fund II (“HCSG II”) on the Avalanche public blockchain. This is an important step in making institutional private markets strategies more accessible to retail investors.

The new Securitize token fund (the “Fund”) marks the first time exposure to one of KKR’s alternative investment strategies is offered in a digital format in the United States. Managed by Securitize’s digital asset management arm, Securitize Capital, the fund provides exposure to KKR’s strategy for growth healthcare stocks.

In the past, investments in private markets funds were primarily available to large institutional investors and very high net worth individuals. Unlocking wider access to private markets investment has long been a challenge for the industry.

Tokenization helps solve this problem by enabling the technology to provide lower minimum investments, improved onboarding and compliance protocols for digital investors, and increased liquidity potential through a regulated alternative trading system.

Tokenization has the potential to address many of the biggest challenges facing retail investors looking to engage in private markets investing by enabling technological and product innovations that were previously not possible,” said Carlos Domingo, CEO of Securitize. “This new fund is an important step in democratizing access to private equity investing by providing more efficient access to quality institutional products.”

KKR’s adoption of blockchain is also a significant step in further building a “blockchain bridge” from paper-based to digital financial products.

With its ability to digitize operational inefficiencies and increase ease of use for individual investors, blockchain technology has the potential to play an important role in the future of private markets,” said Dan Parant, Managing Director and Co-Head of US Private Wealth at KKR. “We are excited to partner with Securitize to be an early adopter of this technology and look forward to bringing our investments to a new investor audience.”

The Securitize token fund is offered under SEC Reg D 506(c) and Securitize tokenizes the fund on the Avalanche public blockchain. KKR’s HCSG II fund, in which the fund invests, invests in innovative healthcare companies in North America and Europe with proven products and services that are seeking a partner to commercialize and scale.

Avalanche is a green smart contract platform built for the scale of global finance. It features near-instant transaction finality and novel scaling technology that enables both institutions and individuals to build custom blockchains as a service. Ava Labs is a team supporting Avalanche development and projects built on the network.

Financial markets demand innovation, and over the past two years we have seen dramatic leaps in the development of real assets moving on-chain, delivering on the promise of disruptive technology for institutions,” said John Wu, President of Ava Labs. “This strategic partnership is sure to spur more blockchain activity at leading investment firms who are now armed with both the technology and knowledge they need to craft an impactful strategy.”

Securitize is now a leading tokenization and distribution platform for investors and global wealth managers,” said Wilfred Daye, Head of Securitize Capital. “The token fund we are developing is a significant breakthrough in opening up investor access to private equity investing.”

As a leading securities firm for digital assets, Securitize is at the forefront of innovation: It operates the first and only end-to-end platform leveraging blockchain to raise capital, onboard investors, issue tokenized assets and offer secondary trading; it launched the first credit-rated token fund in Japan; and is the first blockchain-based company to be ranked in the top 10 securities transfer agents.

About securitization and securitization of capital

Securitize is a digital asset investment firm with a mission to provide shareholders with access to investing in and trading in alternative assets and to raise capital for companies, manage shareholders and provide potential liquidity to shareholders. Securitize has developed a fully digital, all-in-one platform for issuing, managing and trading securities of digital assets, compliant with the existing US regulatory framework, with a community of over 1.2 million investors and 3,000 affiliates . Securitize consists of Securitize, Inc. and its subsidiaries Securitize, LLC and Pacific Stock Transfer (both SEC-registered transfer agents), Securitize Capital, LLC, Securitize Markets, LLC (an SEC-registered broker-dealer, member of FINRA and SIPC , and operator of the company’s alternative trading system). Learn more at http://www.securitize.io.

Securitize Capital is the first digital asset management platform to manage and tokenize institutional products by leveraging a blockchain-enabled capital markets structure and customizing innovative financial products that expand investor access and exposure to alternative assets, cryptocurrencies and emerging asset classes. Learn more at www.securitize.io/securitize-capital.

About KKR

KKR is a leading global investment firm providing alternative wealth management, capital markets and insurance solutions. KKR strives to generate attractive investment returns by adopting a patient and disciplined investment approach, employing world-class people, and supporting the growth of its portfolio companies and communities. KKR sponsors mutual funds that invest in private equity, credit and real assets, and has strategic partners that manage hedge funds. KKR’s insurance subsidiaries provide retirement, life and reinsurance products under the direction of Global Atlantic Financial Group. References to KKR’s investments may include the activities of its sponsored funds and insurance subsidiaries. For more information about KKR & Co. Inc. (NYSE: KKR), please visit KKR’s website at www.kkr.com and follow us on Twitter @KKR_Co.

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disclosure

Private markets investing is speculative and involves risk, including potential loss of your investment, and may not be suitable for all shareholders. Private investments are typically an illiquid asset class; Shareholders cannot sell their funds when they want without suffering potentially large losses. Any discussion of liquidity is purely speculative. Past performance is not a guide to future results.

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