According to Blockworks, investment management platforms Brevan Howard and Hamilton Lane are set to become the first asset managers to tokenize their funds. They will collaborate with Libre Capital, a startup backed by Laser Digital and Alan Howard-backed WebN Group. Libre aims to launch in the first quarter of 2024, enabling asset tokenization and collateralized lending through the Polygon's PoS Ethereum sidechain. Brevan Howard has been actively involved in the cryptocurrency space through its investments in blockchain startups.
The decision to tokenize their funds will allow the fund management companies to bring liquidity into assets that would otherwise remain idle. Over the past few months, asset tokenization has gained popularity within the cryptocurrency space, and this trend is expected to continue throughout 2024. According to rwa.xyz, a platform that tracks on-chain tokenization, there are now over $585 million worth of active loans on the blockchain. The cumulative value of all these loans has reached $4.5 billion, with borrowers paying an estimated 9.57% APR on average.
Recently, digital asset liquidity provider Enigma Securities partnered with Circle-backed tech company OpenTrade to bring yield-bearing US Treasury Bills on-chain. Brevan Howard did not respond to Blockworks' request for comment before publishing time.
