Friday 30 September 2022
Home / none / $491B asset manager KKR’s health care fund tokenized on Avalanche

$491B asset manager KKR’s health care fund tokenized on Avalanche

Digital asset company Securitize Capital is set to tokenize $491 billion asset management firm KKR’s Health Care Strategic Growth Fund II (HCSG II) on the Avalanche blockchain.

The news was shared by KKR on Sept. 13, with the tokenization of HCSG II being described by the head of Securitize Capital Wilfred Daye as a “significant breakthrough” for individual access to private equity markets.

The tokenization enables investors to own a token representing a share of the $4 billion healthcare-focused fund that invests in 23 North American and European-based companies versed in the pharmaceuticals, medical devices and life sciences sectors.

In order to buy in the HCSG II Fund on the Securitize protocol, investors need to submit their passport, fill out personal and tax information and complete a “liveness check” in order to be reviewed. Investors are also subject to a 0.50% management fee.

Founder and CEO of Ava Labs Emin Gün Sirer said the tokenization of the HCSG II Fund marked a “huge milestone” for the blockchain industry in enabling “real world assets” to move on-chain:

KKR said on-chain tokenization of real world assets also “lowers investment minimums, improves digital investor onboarding and compliance protocols, and increases potential for liquidity through a regulated alternative trading system.”

Related: Tokenization, Explained

The potential for tokenization to capture a large share of global assets has also been acknowledged by Boston Consultant Group (BCG) and Raiffeisen Bank International’s Blockchain Research Hub.

BCG predicted that $16.1 trillion of illiquid assets will be tokenized by 2030, while Raiffeisen Bank International’s Blockchain Research Hub predicted last year that most securities will be tokenized by 2030.

Securitize Capital operates the Securitize protocol, which was integrated onto the Avalanche blockchain in Dec. 2020 and is focused on “reinventing private capital markets by delivering trusted end-to-end security token solutions.”

Original Article

About Jude Savage

Check Also

Ethereum Merge was ‘executed flawlessly,’ says Starkware co-founder

As the dust settled over the Ethereum network’s highly-anticipated transition to proof-of-stake (PoS), Eli Ben-Sasson, the co-founder of Starkware, gave his thoughts on its execution and potential for the future. Speaking to Cointelegraph’s Gareth Jenkinson at the Token2049 event, Ben-Sasson shared his thoughts on the current situation post-Merge and how it affects layer-2 projects like Starkware. In addition to that, the executive also gave his thoughts on the adoption and interest for layer-2 products and the crypto winter. Looking back at the Ethereum Merge’s execution, Ben-Sasson rejoiced that the transition was flawless and said things happened as they should. The executive explained that: “The most important thing is that it was executed flawlessly. Everything that was supposed to happen did happen. And none of the things that people were worried about did happen. And that's terrific news.”Additionally, the executive also highlighted the importance of the new Ethereum netw..

Leave a Reply

Your email address will not be published. Required fields are marked *