By
Bhushan Akolkar
April 26th, 2024
Securitize announced it has managed to raise a whopping $14 million in latest investment from Nomura Holdings, MUFG, and Banco Santander.
Three of the globe’s giant banks – Nomura Holdings, MUFG, and Banco Santander – have supported Securitize, San Francisco based startup, which assists companies to tokenize their assets and securities.
Securitize which provides numerous services to support firms design blockchain-based security tokens, announced it has managed to raise a whopping $14 million in latest investment. The most recent financial round was controlled by the VC arms of the trio financial institutions from available investors that involve SeedRocket4Founders, SpiCE, and Blockchain Capital.
The crypto-based compliance network, which has presently raised approximately $30 million in total financing, expects to utilize the money to continue to develop its activities.
The strategy surfaces at a time when the startup is open-sourcing its Digital Securities SD Protocol. The firm has also unveiled a new ecosystem, termed ‘Securitize Ready Program,’ that supports partners like advisory firms, broker-dealers, and lawyers to adopt its crypto compliance solutions.
DS Protocol for Securitize offers an automated compliance ecosystem for security tokens and ensure the entire technique, starting from onboarding up to issuance plus investor management, is conducted within stipulated guidelines.
As the hitting debate of security tokenization has triggered controversy in the crypto ecosystem, Carlos Domingo, Securitize CEO raised the issue at the Finance Magnates’ Barcelona Trading Conference.
The CEO indicated:
“Bringing on key strategic investors like Santander InnoVentures, MUFG, and Nomura, as well as leading blockchain investors, validates how transformative digital securities are for traditional financial markets. Their investment in Securitize ensures that we can continue to drive adoption and innovation with our execution and industry-leading technology.”
President & CEO of MUFG, Nobutake Suzuki also indicated:
“Digital securities are increasingly becoming a leading use case for distributed ledger technologies within the financial services industry. Securitize has emerged as a leading solutions provider within this rapidly growing space. Through our investment in Securitize, MUIP is seeking to establish a strategic relationship and promote further collaboration in the future.”
Other Crucial Investors
The latest fundraising also involved KDDI Open Innovation Fund, the venture branch of KDDI, one of the giant telecom companies in Japan, including Mitsui Fudosam-backed 31Ventures, Chinese blockchain-focused Fenbushi Capital, and famous Hong Kong Blockchain VC Company, Kenetic Capital.
American-based blockchain VC group Algo Capital VC and the Tezos Foundation also took part in the round. Focusing on the news released, Algo Capital VC and Tezos plan to work with Securitize on the Algorand and Tezos blockchain, following the strategized investment.
Last month, Securitize registered with the U.S. Securities and Exchange Commission (SEC). It was purporting that the firm became the first SEC-confirmed transfer agent with an operational blockchain protocol as well as active securities issuers.
