In a strategic funding round, KAIO has raised $8 million from Tether and other prominent investors, bringing its total funding to $19 million. The round saw the participation of new investors such as Systemic Ventures, as well as returning investors like Further Ventures, Laser Digital, and Brevan Howard Digital. KAIO specializes in creating infrastructure for asset managers to distribute their funds on the blockchain.
The firm has successfully tokenized products from companies such as BlackRock, Brevan Howard, and Hamilton Lane, making them accessible through blockchain-based systems. With this new investment, KAIO plans to expand its offerings to include credit, structured investments, and exchange-traded funds. The company is also set to launch an on-chain fund in partnership with Mubadala Capital, a private equity firm with $385 billion in assets under management. By tokenizing institutional funds, KAIO aims to reduce the barriers to entry for investors, with minimum investments starting at $100 for eligible users.
The involvement of Tether, the issuer of the popular stablecoin USDT, is expected to facilitate the flow of stablecoin liquidity into regulated investment products. According to Tether CEO Paolo Ardoino, KAIO's platform 'unlocks new pathways for capital formation and investment by bringing institutional-grade assets on-chain and making them more broadly accessible.' KAIO's platform prioritizes compliance, supporting regulated distribution frameworks in jurisdictions such as Abu Dhabi, the Cayman Islands, and Singapore. To date, the company has tokenized approximately $100 million in assets and processed over $500 million in transactions.