Securitize Partners with Wormhole to Bring Cross-Chain Functionality to Tokenized Assets

Securitize, a leading blockchain company specializing in asset tokenization, has named Wormhole as its official interoperability partner. This collaboration aims to transform how tokenized assets function by enabling cross-chain operability, benefiting both current and future Securitize products. The partnership allows assets to move seamlessly across various protocols, including both public and private blockchains, broadening the scope for institutional adoption.

Expanding Access with Cross-Chain Capabilities

The partnership with Wormhole marks a major milestone for Securitize, allowing it to integrate cross-chain capabilities into its platform. Tokenized assets that were previously confined to a single blockchain can now be transferred across multiple networks, enhancing liquidity and providing better opportunities for investors. This new flexibility will make it easier for participants to trade, buy, and manage digital assets in a more efficient and effective manner.

Institutional Interest on the Rise

Securitize’s expertise in compliance, combined with Wormhole’s cross-chain technology, is expected to attract more institutional investors to the tokenized asset space. The partnership creates a regulated environment where institutions can confidently trade tokenized securities, driving further adoption of this growing asset class.

Incorporating Wormhole’s messaging protocol into Securitize’s smart contracts will ensure that all regulatory requirements are met. This integration is key to making tokenized assets more secure, accessible, and liquid, potentially accelerating their acceptance in mainstream financial markets.

Bringing Tokenized Securities to Public Blockchains

Carlos Domingo, CEO of Securitize, believes this move is a significant step toward unlocking the full potential of tokenized securities. “We’re unlocking the full potential of tokenized securities by bringing them to public, permissionless blockchains. Wormhole helps us deliver sub-second, super-cheap transactions, and it moves us closer to a fully cross-chain ecosystem,” Domingo explained.

This collaboration underscores the growing interest in using public blockchains to support institutional finance and digital assets. By leveraging Wormhole’s advanced interoperability, Securitize is positioning itself as a leader in the transition between traditional and decentralized finance (DeFi).

 Securitize’s Growth and Future Outlook

Founded in 2017, Securitize has been a pioneer in the blockchain space, focusing on converting traditional assets like real estate and bonds into digital tokens. The firm is registered with the U.S. Securities and Exchange Commission (SEC) as a transfer agent, further bridging the gap between traditional finance and blockchain technology.

In May 2024, Securitize raised $47 million in a funding round led by BlackRock, with participation from notable investors like ParaFi Capital, Tradeweb Markets, and Hamilton Lane. The capital is expected to fuel further innovation and support the company’s global expansion efforts.

BlackRock’s Role in Securitize’s Growth

Earlier this year, BlackRock selected Securitize as the official transfer agent for its tokenized Ethereum-based fund, the BlackRock USD Institutional Digital Liquidity Fund (BUIDL). This partnership further solidified Securitize’s position as a leader in the tokenized asset industry, with the fund exclusively available through Securitize’s platform.

Conclusion: Paving the Way for Tokenized Asset Adoption

The partnership between Securitize and Wormhole marks a pivotal moment in the evolution of tokenized assets. By enabling cross-chain operability, Securitize is enhancing the accessibility and liquidity of tokenized assets, while also attracting more institutional investors. As the blockchain industry continues to grow, this collaboration could serve as a blueprint for other companies looking to bridge traditional and decentralized finance.

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