Securitize Launches New Initiative In Collaboration With Elixir

Securitize has made a significant move toward bridging traditional assets with the decentralized finance (DeFi) ecosystem by launching a new feature called sToken. This tool, which leverages ERC-4626 vault technology, enhances the liquidity and composability of tokenized assets within DeFi, offering traditional investors new opportunities in the digital and blockchain space.

Securitize CEO Carlos Domingo believes that this breakthrough streamlines asset management for investors, enabling them to enjoy both traditional returns and DeFi opportunities in an accessible and efficient manner.

New Investment Strategies

The introduction of sToken is the result of a partnership with Elixir and its deUSD RWA Institutional Program, which enables institutional holders of over $1 billion in tokenized Real World Assets (RWAs) through Securitize to tap into deUSD liquidity, all while preserving the returns of their underlying assets.

This development allows traditional assets, such as investment funds and real estate, to be utilized within the DeFi ecosystem, creating new investment strategies and optimizing portfolios. Securitize views this innovation as a milestone in the tokenization industry, as it facilitates direct interaction between real-world assets and the digital economy without compromising their value or exposure.

BlackRock Gets Involved

In collaboration with Elixir, the new sToken initiative also introduces the BUIDL token, which was launched by BlackRock. This marked a new phase in the intersection of DeFi and traditional finance. The deUSD currency further allows investors to generate returns via their traditional assets while engaging in DeFi, without increasing collateral risk.

This feature also paves the way for new investment opportunities that blend the strengths of traditional finance with digital assets, presenting a viable solution for institutions previously hesitant to enter the DeFi space due to collateral concerns or volatility.

With sToken, Securitize creates a bridge between conventional finance and decentralized finance, giving institutional investors access to all the benefits of DeFi while safeguarding the returns of their traditional investments.