KAIO, a tokenization firm based in Abu Dhabi, has announced an $8 million strategic funding round led by Tether and supported by other prominent crypto and institutional investors. This investment brings KAIO's total funding to $19 million, with new investors including Systemic Ventures and returning investors such as Further Ventures and Laser Digital. KAIO's mission is to create infrastructure that enables asset managers to distribute funds on the blockchain, making traditional funds more accessible.
The company has already tokenized products from major firms like BlackRock, Brevan Howard, and Hamilton Lane, and plans to expand into other areas such as credit and exchange-traded funds. KAIO aims to launch an on-chain fund with Mubadala Capital, an Emirati private equity firm with $385 billion in assets under management. By tokenizing institutional funds, KAIO seeks to lower the barriers to entry for investors, with minimum investments starting at $100 for eligible users. Tether's involvement in the funding round highlights the potential for stablecoin flows to support regulated investment products.
According to Tether CEO Paolo Ardoino, KAIO's approach '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 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.