US investment major KKR’s latest health-care-specific private equity fund is now tokenized on the Avalanche blockchain. The development marks an era-defining association between real-world assets and blockchain technology.
Previously, private equities weren’t easily accessible to people who had minimum funds to invest. Tokenizing an entire fund like this will help investors make use of the fractional nature of crypto while maintaining real-world exposure.
Who is in charge of tokenization?
Securitize Capital, a reputed digital asset firm, has taken the responsibility of tokenizing KKR’s newest HCSG II (Health Care Strategic Growth Fund II). Wilfred Day, head of Securitize Capital, termed this development a “significant breakthrough.” Tokenization now opens access to a leading private equity fund to individuals. Hopefully, other PE funds will also join the ranks.
Why is this significant?
The HCSG II is a $4 billion fund with investments in the top 23 European and North American firms active in sectors like life sciences, pharmaceuticals, and medical devices. Earlier, people who wished to invest in the HCSG II fund had to go through a detailed liveness (credentials) check. They also had to pay half a percent management fee.
Tokenization changes everything as it speeds up investor onboarding, lowers investment threshold, and increases liquidity.
Understanding the process
Securitize Capital has been handling the Securitize protocol on the Avalanche blockchain since 2020. The protocol is responsible for putting together the tokenized feeder fund where tokens can be purchased to gain exposure to the health-focused private equity fund.
KKR’s move is a step towards democratizing private equity access and investments, Securitize chief executive Carlos Domingo said.
Did KKR make a piece of PE fund available?
To get the most up-to-date and accurate information about KKR’s current activities, fund availability, or any recent developments, I recommend checking KKR’s official website, press releases, or reputable financial news sources. Additionally, you may find relevant information in the firm’s financial reports or statements if they are publicly available.
Is KKR a private equity fund?
KKR (Kohlberg Kravis Roberts & Co. L.P.) is a global investment firm, and while it is well-known for its involvement in private equity, KKR operates as a diversified investment firm with various asset classes. It is not a single private equity fund, but rather a firm that manages multiple funds across different investment strategies.
Is KKR a buyout fund?
KKR (Kohlberg Kravis Roberts & Co. L.P.) is known for its involvement in private equity, and it has a history of conducting leveraged buyouts (LBOs), making it one of the prominent buyout firms. Private equity buyout funds, such as those managed by KKR, typically engage in acquiring a controlling interest in existing companies with the goal of improving their performance and profitability over a period of time.
Which investment manager tokenized a fund on avalanche in the last 2 months?
To find the most recent and accurate information regarding investment managers tokenizing a fund on Avalanche or any other blockchain, I recommend checking reputable cryptocurrency news sources, official announcements from blockchain projects, and the official social media channels of the platforms involved.