SkyBridge Tokenizes $300M in Hedge Funds on Avalanche Blockchain

SkyBridge Capital has taken a major step in integrating blockchain technology into traditional finance by announcing the tokenization of $300 million in its hedge funds on the Avalanche blockchain. This initiative involves the Digital Macro Master Fund Ltd and Legion Strategies Ltd and is being executed in partnership with Tokeny and Apex Group. The tokenization leverages the ERC-3643 standard, aiming to streamline asset management through increased liquidity, transparency, and operational efficiency [1].

Anthony Scaramucci, founder and CEO of SkyBridge Capital, has positioned this move as a strategic shift toward modernizing the alternative investment landscape. He has long advocated for the integration of digital assets into institutional finance, emphasizing how blockchain can bridge the gap between traditional and digital asset classes [1]. SkyBridge’s tokenization initiative underscores the growing institutional confidence in blockchain’s potential to transform asset management.

The project utilizes Tokeny’s enterprise-grade infrastructure, which unifies on-chain and off-chain workflows. This system facilitates the seamless issuance, transfer, and administration of tokenized securities, reducing operational silos and enabling automated processes. The result is a more agile framework for financial institutions seeking to offer on-chain services and attract a broader investor base [1].

Apex Group, a global financial services provider with over $3.5 trillion in assets under management, supports the initiative through its Digital 3.0 platform. This platform enables fund managers to integrate blockchain-based operations into their investment lifecycle, from creation to distribution. Daniel Coheur, Global Head of Digital Assets at Apex Group and co-founder of Tokeny, noted that this collaboration is breaking down operational and technological barriers to institutional tokenization [1].

Avalanche was selected as the blockchain network for its high-speed transactions, near-instant finality, and EVM compatibility. These attributes make it well-suited for large-scale tokenization projects and have already positioned it as a leading platform for tokenized assets such as money market funds and private credit [1]. John Wu, President of Ava Labs, described the partnership as a pivotal moment in institutional blockchain adoption, reinforcing Avalanche’s role in institutional finance [1].

This initiative marks one of the largest institutional shifts toward blockchain-based asset management. It is expected to attract new capital flows and drive further innovation in on-chain asset solutions. The move also has the potential to influence the liquidity and market dynamics of major cryptocurrencies, including ETH and BTC [1].

SkyBridge Capital, founded in 2005, has increasingly focused on digital assets, with over half of its assets under management allocated to this sector. The firm’s strategic alignment with cutting-edge technology and institutional-grade infrastructure signals a maturing tokenization market and the potential for blockchain to reshape traditional finance [1].

Tokeny, recognized for its compliant tokenization solutions, has executed over 120 use cases and processed 3 billion on-chain transactions. Its white-label software and open-source standards support financial institutions in tokenizing and managing assets efficiently [1].

Source: [1] SkyBridge Capital Partners with Tokeny to Tokenize $300M in Hedge Funds on Avalanche (https://www.apexgroup.com/insights/skybridge-capital-partners-with-tokeny-to-tokenize-300m-in-hedge-funds-on-avalanche/)