Securitize Raises $400M to Expand Tokenization Business

Key Insights:

• Securitize raised over $400 million via its SPAC merger and PIPE financing. Consequently, Securitize is now a NYSE-listed company.
• CEO Carlos Domingo says acquisitions will expand institutional tokenization services, not eliminate competitors.
• The company believes tokenized stocks and ETFs could unlock a multi-trillion-dollar market opportunity.

Securitize (NYSE: $SECZ) became a publicly listed company on the New York Stock Exchange (NYSE) after completing its special purpose acquisition company (SPAC) merger and related private investment in public equity (PIPE) financing, which raised more than $400 million. The Tokenization firm is now preparing for its next growth phase.

The tokenization firm plans to acquire businesses that strengthen its services, betting that the growing demand for tokenized real-world assets (RWAs) is only getting started.

Securitize Plans Expansion After Public Listing

Securitize CEO Carlos Domingo said the company will use its stronger balance sheet to expand its institutional tokenization business through acquisitions.

Speaking to a news agency after the company's New York Stock Exchange listing, Domingo said Securitize does not need the entire $400 million it raised to run its day-to-day business. Instead, the company plans to invest part of that money in businesses that add new services to its platform.

"We're going to be looking at acquisitions because we obviously don't need $400 million to run the company."

However, he made it clear that Securitize is not looking to buy direct competitors.

"They're not going to bring anything to me that I don't have in terms of tech," he said.

Instead, the company wants to acquire businesses that complement its tokenization platform and help it build what Domingo described as a "one-stop shop" for institutional clients.

One of the Largest Tokenization Providers

Founded in 2017, Securitize has become one of the largest companies helping financial institutions bring traditional assets onto blockchain networks.

The company provides services such as asset issuance, transfer agency, and fund administration for tokenized securities. Its client list includes some of the biggest names on Wall Street, including BlackRock, Apollo, KKR, Hamilton Lane, and VanEck.

According to RWA.xyz, Securitize has already issued around $4.4 billion in tokenized assets.

That includes BlackRock's BUIDL fund, which has grown to roughly $2.2 billion, making it one of the largest tokenized U.S. Treasury funds in the market. Securitize has also tokenized nearly $300 million of its own shares.

These figures highlight how quickly institutions are adopting blockchain technology for traditional financial products.

Tokenized Equities Could be the Next Big Opportunity

While tokenized treasury funds have driven much of the market's recent growth, Domingo believes the next opportunity is much bigger. He said public equities and exchange-traded funds (ETFs) could become the next major asset class to move on-chain.

According to Domingo, even if only 2% of the roughly $140 trillion global equity market becomes tokenized, it would create a market worth nearly $3 trillion.

"Tokenized equities and ETFs are something we think moves the needle significantly."

Rather than creating synthetic versions of stocks, Domingo believes tokenization should begin with the companies issuing the assets themselves.

"The issuer is the one that has the legal authority to create the asset. That's where tokenization should start."

Wall Street is Moving Toward Tokenization

Securitize's expansion comes as more financial institutions are investing in blockchain-based infrastructure. According to RWA.xyz, the tokenized real-world asset market has already grown beyond $32 billion.

Meanwhile, Citigroup estimates tokenized securities could become a $5.5 trillion market by 2030, while Boston Consulting Group and Ripple project the broader tokenization market could reach $18.9 trillion by 2033.

The shift is already happening across traditional finance.

Earlier this year, the parent company of the New York Stock Exchange, Intercontinental Exchange (ICE), partnered with Securitize to build infrastructure for tokenized equities.

At the same time, Nasdaq has been exploring tokenization initiatives, while the Depository Trust & Clearing Corporation (DTCC), which oversees more than $114 trillion in securities settlement, plans to launch its tokenized securities platform later this year.