In January Moody’s issued the first public blockchain fund rating for tokens issued by Singapore’s FundBridge Capital. The fund tokens were launched using the new Libeara tokenization platform incubated by Standard Chartered’s SC Ventures. This is the third major pillar of SC Ventures’ digital assets strategy alongside two other startups: Zodia Custody launched in 2020 and crypto brokerage Zodia Markets founded in 2022.
One commonly cited benefit of blockchain is that it creates liquidity because tokens enable investments to be made available in smaller denominations. Libeara’s founder and CEO, Aaron Gwak, dismisses the idea that tokenization brings liquidity. “I think human beings make liquidity. I think that technology brings mobility,” said Mr Gwak.
By mobility, he means the ability to pledge a tokenized asset as collateral with another institution. Currently, if you buy a mutual fund from a bank, you have to talk to the same bank to take out a loan against your investment. That’s not the case with open networks.
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