UK-based loan provider lets investors tokenize their fund with Securitize partnership

A London based loan provider, Whitehall Capital, made a deal with American virtual asset securities marketplace Securitize to allow it's investors to hold their units as blockchain tokens.

According to an announcement on Monday, Whitehall investors will have the ability to use, and trade units in the Whitehall fund through the Securitize platform. After creating an account on Securitize, an investor will have access to their assets as a number of tokenized units, investment reports, the performance markers and other necessary information included. They could also buy and sell the tokenized units with other investors by posting a bit to sell or buy a certain amount.

According to the managing partner at Whitehall Capital, Anthony Borenstein, the blockchain tokens, backed by loans which are protected by property assets, will deliver an annual income of 8-10%:

“As there is currently no secondary market for investments in Whitehall Capital, we anticipate investors will quickly take to the benefits of working with this easy-to-use and interactive platform and holding units in this way.”

Securitize will be in control of tracking transaction activity on the blockchain, issuing tokenized shares and delivering them to the shareholders.

In September 2021, Securitize established a partnership with Arca Labs, the innovation arm of the virtual asset investment firm Arca, to give a smart contract and issuance platform for the firm, commencing with a tokenized fund called Arca U.S. Treasury Fund. Arca Labs alleges it's the first treasure fund registered under the 1940 Investment Company Act to issue shares as virtual assets through the blockchain.