Securitize Acquires MG Stover Fund Administration Arm
Securitize, a digital assets firm, acquired MG Stover’s fund administration business, pushing its assets under management to over $38 billion.
Securitize, the leading tokenization platform, has made a significant push in the digital asset space by acquiring fund administration business from MG Stover. The deal has made Securitize Fund Services, a wholly owned subsidiary, a major force in the management of blockchain-based investment products.
Through the purchase, Securitize Fund Services currently has $38 billion under management in 715 funds. The deal introduces one of the most experienced teams of fund administrators in traditional finance and digital assets to its institutional product.
“Legacy fund administrators were never designed for digital assets’ speed, complexity, or global nature,” stated Securitize CEO Carlos Domingo.
Founded in 2007, MG Stover has serviced hedge funds, venture capital, private equity, and digital asset portfolios. Only the fund admin division was acquired; the rest of MG Stover is independent.
Dominance in Tokenized Treasurys with BUIDL
Securitize has brought on over $3.3 billion in onchain assets, including the BlackRock USD Institutional Digital Liquidity Fund, also referred to as BUIDL. The tokenized U.S. Treasury fund has nearly $2.5 billion in assets under management, leading the fast-growing real-world asset (RWA) tokenization market.
BUIDL is part of a broader movement by institutions embracing blockchain technology for improved and more transparent asset management.
Real-World Asset Tokenization Gains Momentum
Despite a broader crypto downturn, the RWA market has seen impressive growth. The aggregate value of onchain financial assets grew 11.2% in the last 30 days to $21 billion, according to RWA.xyz.
Securitize is also prepping for the next tokenization revolution. It recently joined forces with Ethena Labs to launch Converge, a blockchain that specializes in RWAs and DeFi. The blockchain is designed to unite institutional and retail investors into one platform for tokenized assets.
Other notable news involves Mantra’s $109 million fund for supporting RWA and DeFi creators, which reflects the growing trend of interest in actual real-world uses of blockchain.
